GEORGE TOWN, May 14 — Penang’s economy is poised to grow 4 per cent to 5 per cent in 2026, buoyed by the state’s robust high-tech manufacturing sector and continued strength in external trade, Chief Minister Chow Kon Yeow said today.
Speaking during his winding-up speech at the state legislative assembly, Chow, who is also the Padang Kota assemblyman, attributed the positive forecast to the performance of the electrical and electronics (E&E) industry, which remains a primary driver of the state’s economy.
“The inflation rate is expected to remain moderate at between 1.5 per cent and 2.5 per cent,” he said.
The CM also said that Penang continues to be a top investment destination, securing overall approved investments amounting to RM63.96 billion.
This figure was led by the services sector, which contributed RM41.22 billion, while the manufacturing sector recorded RM22.38 billion.
On the state’s own financial health, Chow reported that as of May 13, Penang had recorded a total revenue of RM403.39 million against an operating expenditure of RM310.22 million.
This resulted in a healthy current surplus of RM93.17 million, which has further contributed to the increase in the balance of the Consolidated Revenue Account, he said.
Chow concluded by affirming that the state’s financial position remains “strong and resilient,” attributing this performance to efficient revenue management and prudent expenditure control by the state government.
Date: 14 May, 2026 6:00 pm
Source: Malay Mail
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