Encompassing 3,765km2 (1,454sqmi), the conurbation consists of Penang, four municipalities in Kedah and portions of two municipalities in Perak. George Town, the capital city of Penang, is the core city of the conurbation.
The George Town Conurbation is the second largest metropolitan economy in Malaysia after the Klang Valley, with an estimated gross domestic product (GDP) of over US$30 billion in 2020. It is the economic centre of northwestern Malaysia, with George Town as the country's leading exporter, and a centre for finance, healthcare, education, publishing, tourism and manufacturing. George Town is also a significant cultural nexus of the country, being reputed for its culinary scene and its inclusion as a World Heritage Site since 2008.
History
Originally founded as an entrepôt, George Town's diversified economy is powered by the twin major sectors of manufacturing and services. Penang's path to industrialisation began in the 1970s with the establishment of free industrial zones at Bayan Lepas and Perai. As Penang's industries rapidly scaled up the value chain, the border towns in neighbouring Kedah, specifically Sungai Petani and Kulim, also started to witness economic spillover resulting from agglomeration effects and the rise in the standard of living within the former.[1] In 1996, the Kulim Hi-Tech Park (KHTP) was opened as an extension of Penang's electronics manufacturing industry.[2]
However, interstate coordination in urban development was lacking, causing development policies to be disjointed while an urban sprawl radiated out of Penang's borders into Kedah and Perak. In the early 2000s, the Malaysian federal government began drafting the National Urbanisation Policy (NUP) and the National Physical Plan (NPP), in which the concept of a George Town Conurbation was created out of the desire by policy planners to decentralise urban development in Peninsular Malaysia to four major metropolitan areas.[3][4]
In 2011, the then Malaysian Prime MinisterNajib Razak, announced plans to intensify infrastructure investment in Penang as part of a "Greater Penang Masterplan".[5] However, by 2013, there had been no further developments on the proposal, prompting then Penang Chief MinisterLim Guan Eng to question the federal government's lack of progress.[6] The strained federal-state ties following the 2013 general election resulted in the Barisan Nasional-controlled federal government cutting development expenditures for Penang, then an opposition state held by Pakatan Rakyat (predecessor to Pakatan Harapan). This situation persisted until the 2018 general election, which led to both the federal and Penang governments being helmed by the same coalition for the first time since 2008.[7] The George Town Conurbation was further expanded under the Fourth National Physical Plan (NPP-4), which was published in 2021.[8]
Prior to Malayan independence, George Town's metropolitan area confined itself to what is now downtown George Town, two neighbouring subdistricts and Butterworth.[9] In 2006, the Ministry of Housing and Local Government published the National Urbanisation Plan (NUP), which identified George Town as the core city of a "regional-level" conurbation spanning all of Penang, Sungai Petani, Kulim, Parit Buntar and Bagan Serai.[10] Under the Second National Physical Plan (NPP-2) in 2010, Bandar Baharu was incorporated into the conurbation, which was defined as stretching from Sungai Petani in the north to Parit Buntar in the south.[11][4]
In 2021, the Fourth National Physical Plan (NPP-4) expanded the conurbation's limits to Yan, Selama, Bagan Serai and Bukit Merah.[8]
Timeline of definitions of the George Town Conurbation
The NPP-4 outlines plans for ongoing economic diversification in Sungai Petani and Kulim, the two largest economies within Kedah by GDP.[20][8] Manufacturing remains the main economic driver in the two towns, while the southern fringes of the conurbation, spanning Bandar Baharu and northern Perak, are primarily focused on agriculture.[8]
Gross domestic product of the conurbation in 2020 (est.)[16][21][20]
To further promote urban mobility, pedestrian and cycling infrastructure throughout George Town are also being upgraded.[40][41] In 2016, George Town became the first city in Malaysia to have a public bicycle-sharing service with the launch of LinkBike.[42]
The Port of Penang serves as the main harbour for northwestern Malaysia and southern Thailand.[47] In 2023, it handled more than 1.4 million TEUs of cargo, the third highest of all Malaysian ports.[48]Swettenham Pier, located within downtown George Town, accommodates cruise ships and is one of the main entry points into the city. In 2017 it recorded 125 port calls, surpassing Port Klang as the busiest cruise shipping terminal in the country.[49]
The cross-strait Penang ferry service connects downtown George Town and Seberang Perai, and was formerly the only transportation link between the island city and the mainland until the completion of the Penang Bridge in 1985.[50] At present, four ferries ply the Penang Strait between both cities daily.[51]
italics indicates an ongoing construction project.
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Malaysia 
Penang 
Kedah 
Perak 
George Town 
Seberang Perai 
