Penang tables lowest-ever budget deficit


GEORGE TOWN: Penang has tabled its lowest-ever deficit with an estimated shortfall of about RM19.92mil under the 2026 state budget.

Penang Chief Minister Chow Kon Yeow said the state expects RM1.068bil in revenue in 2026 against a total expenditure of RM1.088bil.

He said tax revenue is projected at RM269.78mil while non-tax revenue remains the main contributor at RM699.69mil, with non-revenue receipts adding another RM98.56mil.

Chow said operating expenditure for 2026 is RM1.051bil, driven mainly by RM645.73mil for fixed charges and grants.

Emoluments are set at RM226.73mil under the revised public service pay system, while services and supplies will require RM200.51mil, he said.

Other expenditure, including for development will rise to RM318.62mil, an increase of about RM98.62mil from 2025.

"A total of 122 projects are planned for 2026, covering infrastructure, community facilities and state development priorities.

"Our focus is on high-impact projects that support Penang's long-term growth and improve the well-being of the people," Chow said when tabling the budget at the state assembly on Friday (Nov 14).

According to Chow, the major development commitments include land acquisition for the LRT Mutiara Line, Gurney Bay Phase 2, Silicon Island works and other components under the Penang Transport Master Plan.

 

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Penang , State Budget , Deficit

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