Penang

Penang^[a] is a Malaysian state located on the northwest coast of Peninsular Malaysia. It is divided into two parts by the Strait of Malacca: Penang Island to the west, where the capital city George Town is located, and Seberang Perai on the Malay Peninsula to the east. These two halves are physically connected by the Penang Bridge and the Second Penang Bridge. The state shares borders with Kedah to the north and east, and Perak to the south.

Penang is one of Malaysia's most developed economic powerhouses, with the highest GDP per capita and Human Development Index of all states. It also ranks second among the states in terms of average wages. Penang is Malaysia's leading exporter with nearly RM495 billion (US$119.57 billion) in exports in 2024, primarily through the Penang International Airport which is also the nation's second busiest by aircraft movements.

Established by Francis Light in 1786, Penang became part of the Straits Settlements, a British crown colony also comprising Malacca and Singapore. During World War II, Japan occupied Penang, but the British regained control in 1945. Penang was later merged with the Federation of Malaya (now Malaysia), which gained independence in 1957. Penang's economy shifted from entrepôt trade to electronics manufacturing and the tertiary sector throughout the late 20th century.

With 1.74 million residents and a population density of 1,659/km² (4,300/sq mi) as of 2020, Penang is one of Malaysia's most densely populated and urbanised states.^[5] Seberang Perai is Malaysia's third largest city by population. Penang is culturally diverse with a population that includes Chinese, Malays, Indians, Eurasians, Siamese and expatriates.

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