GEORGE TOWN, Dec 4 — Despite the global economic setback due to the pandemic, Penang’s exports have increased by 13 per cent to RM256 billion from January to September this year.

Chief Minister Chow Kon Yeow said last year, Penang’s exports rose to a record high of RM310 billion; 82 per cent of which were contributed by the electrical and electronic (E&E) and professional, scientific and controlling instruments sector, including medical devices.

"Penang is the most important manufacturing base for E&E products in Malaysia and accounts for an estimated five per cent of global semiconductor exports.

"Meanwhile, Penang has also garnered RM14 billion of approved manufacturing investments in 2020,” he said in his speech during an investment announcement ceremony at the Penang Development Corporation today.

Chow said E&E, machinery and equipment as well as scientific and measuring equipment (including Medtech) contributed 89 per cent of the total of approved manufacturing investments in Penang, representing 50 per cent of Malaysia’s collective investments.

Known as the Silicon Valley of the East, he said that Penang’s robust industrial ecosystem and conducive business environment are well attested to by the sustained interests from companies — both foreign and local — to diversify into the state.

"The state government is also seeing an increasing trend of local companies moving up the value chain with higher value-added offerings and high-level technology adoption,” he added.

Chow said the state government will continuously spearhead the development of a sustainable ecosystem, including physical and digital infrastructure, environmental sustainability and liveability in Penang.

Meanwhile, according to the Malaysian Investment Development Authority (MIDA), Penang’s domestic direct investment (DDI) has been growing significantly, surging 92 per cent year-on-year to RM3.6 billion in 2020 — 64 per cent higher than the 10-year average of RM2.2 billion from 2011 to 2020.

The momentum persisted in the first half of 2021, with Penang clocking up RM700 million in DDI, equivalent to 54 per cent of the state’s total approved manufacturing investments. — Bernama