01-05-2025
- Business
- New Straits Times
NST Leader: Affordable 'paradise'
In 1985, the 13.5km-long Penang Bridge, connecting the island to mainland Prai, was completed — symbolising the agro-based nation's ambition to become a global industrial powerhouse.
The South Korean-built, cable-stayed structured bridge is the longest of its kind in Southeast Asia and has won awards for its unique architecture. At conception stage, the bridge drew criticism, chiefly because it was seen as a "luxury" project.
Now, that initial outcry sounds thoroughly antiquated. Luxurious or not, the government disregarded the sceptics, invested RM800 million in construction and realised the early-1970s dream of then prime minister Tun Abdul Razak Hussein and chief minister Tun Dr Lim Chong Eu.
Had the government delayed or cancelled the bridge project, construction costs would have exploded into the billions. So robust was Penang's socioeconomic rise that a second bridge — 24km long — was completed in 2014, although a 7.2km undersea tunnel connecting Pangkor Road and Prai's Bagan Ajam remains in limbo.
Forty years on, the Penang Bridge has replaced the quaint ferry service while addressing growing congestion, improving public transport, fuelling economic and industrial growth and, above all, boosting tourism.
While Penang's industrial and technological strength gains global recognition, it is the state's tourism that is now making headlines, especially after ranking 12th in the prestigious UK Post Office Holiday Money Report 2025. The report assesses holidaying costs in 47 international destinations, with a particular focus on locations offering excellent value for tourist budgets.
Travellers and permanent residents consistently vouch for Penang's historic and tourist hotspots, often even more enthusiastically that its fantastic food and impressive luxury and budget stays.
Nevertheless, affordability is relative. Foreign visitors may be charmed by Penang's low costs, but the locals appear less enthusiastic as property prices are rising beyond their financial capacity.
Yet, everyone's unanimous on the popular street food, thanks to enterprising hawkers. It's a cliché, but no visit to Penang is complete without experiencing authentic nasi kandar, mee goreng mamak, kuetiau goreng, prawn mee, oyster omelette and cendol at the traditional George Town hawker stalls.
How do Penang hawkers sustain budget prices, providing full meals for as low as RM3? The answer is in Penang's dense population, which drives a high volume of local and tourist purchases, allowing for decent profit margins.
Then there's federal and state initiatives actively promoting affordable housing and implementing price controls, with a clear focus on benefiting lower-income groups.
The numbers speak for themselves: rent in Penang is 14 per cent lower than in Kuala Lumpur, and a single individual can maintain a decent standard of living (excluding rent) on around RM2,350 per month.
This translates to Penang being 8.6 per cent more affordable than the capital city. What's more, life in Penang offers quality of life without compromise, providing standard amenities and a relaxed, affordable lifestyle in what many consider paradise on earth.
