GEORGE TOWN, March 10 — Penang recorded RM22.4 billion in approved manufacturing investments last year, a 29 per cent increase from 2024, said Chief Minister Chow Kon Yeow.

He said the strong performance reflects sustained investor confidence in the state’s industrial ecosystem and long-term growth prospects.

“Penang is encouraged by the strong investment performance recorded in 2025. The state has continued to attract quality investments that further strengthen our role within the global value chain,” he said in a statement today.

Penang ranked third nationwide for approved manufacturing investments, accounting for 17 per cent of Malaysia’s total.

Chow said the investments spanned 232 projects and are expected to generate 24,633 new job opportunities.

Foreign direct investment (FDI) formed the bulk of the approved manufacturing investments, amounting to RM15.2 billion or 68 per cent of the total.

“Penang also ranked among the top three recipients of manufacturing FDI in the country, contributing 15 per cent of Malaysia’s total manufacturing FDI,” he added.

The top three sources of FDI were Singapore, the United States and the People’s Republic of China, which together accounted for 57 per cent of the state’s total approved manufacturing FDI.

Domestic investments totalled RM7.2 billion, representing 32 per cent of Penang’s total approved manufacturing investments — more than double the previous year’s figure.

“Investment activities were largely in the Electrical and Electronics (E&E), Machinery and Equipment (M&E), as well as Chemicals and Chemical Products sectors, which accounted for 81 per cent of the total approved manufacturing projects,” he said.

Of the approved projects, 52 per cent were new investments, while the remainder involved expansions.

Chow said Penang has remained resilient in sustaining investor interest despite global uncertainties and will continue to work closely with partners to ensure the state remains a competitive and conducive destination for investment.

“We sincerely appreciate the continued trust and support from investors, as well as the close collaboration with the Malaysian Investment Development Authority and InvestPenang in facilitating strategic investments that contribute to Penang’s sustainable economic growth,” he said.