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Kedah

Semiconductor powerhouse & the Rice Bowl of Malaysia

Top-performing state in manufacturing growth nationally in 2024 at 6.6%. Recorded RM30.98 billion in foreign investment activity in Q1 2024, highest in Malaysia for the manufacturing sub-sector.

GDP (2025)

RM56.3B

Real growth

4.1%

Approved 2021–2025

RM183.7B

Working age

1.5M

#5 fastest-growing manufacturing sector in Malaysia#6 largest agricultural economy in Malaysia

Economy by Sector

Share of Kedah's GDP, with real growth against 2024.

  • Services56.4%+3.9%
  • Manufacturing30.3%+5.0%
  • Agriculture10.6%+2.1%
  • Construction2.5%-0.6%
  • Mining & Quarrying0.2%-1.9%

Largest sector

Services

56.4% of GDP

Fastest growing

Manufacturing

Approved Investment

20212025, all economic sectors. Administration in office since May 2020.

68.3
2021
13.1
2022
28.7
2023
45.8
2024
27.8
2025
Total approvedRM183.7B

MIDA Investment Performance Reports. Figures are investment approved in each year, not received — projects typically take 18–24 months to reach full operation. 2021 is this administration's first full year in office.

Places to Invest

  • Kulim Hi-Tech Park (KHTP): RM134.1 billion accumulated investment across 43 industries.

  • The Rice Bowl of Malaysia: ~70% of national rice production.

  • Bukit Kayu Hitam Special Border Economic Zone (SBEZ): 11,600-acre Thai-border zone.

  • Kedah Rubber City (KRC): rubber-based downstream industrial park.

Strategic Narrative

The Greater Kedah vision.
Kedah Development Plan 2035.
Express Construction Permit (E10) driving investment surges.

Investment Agencies

Invest Kedah BerhadKulim Technology Park Corporation (KTPC)PKNK

2.24 million

Population

9,427 sq km

Land Area

12

Districts

95.1%

Citizens

Logistics Network

Airports

  • Langkawi International Airport (Langkawi Island)
  • Sultan Abdul Halim Airport (Alor Setar)

Railways

  • 6 KTM Stations in Kubang Pasu, Kota Setar, Pendang, Kuala Muda

Highways

  • Changlun – Perlis Highway: Interconnecting to PLUS Highway
  • Trans Eastern Kedah Interland Highway (TEKIH): 74 km
  • Lebuhraya Utara Selatan (PLUS Highway): 772 km total
  • Butterworth – Kulim Expressway (BKE): 17 km, interconnecting to PLUS Highway
  • Land Bridge: Penang – Bukit Kayu Hitam – Songkhla (230 km)

Ports

  • Penang Port: 88.2 km from BKH via PLUS, 26 km from KHTP via BKE

Industrial Parks & Zones

1,938 acres

Target industries: Green Tech, Component R&D, Manufacturing, BioTech, Agro-science, advanced materials

4,510 acres

Target industries: Hi-Tech Clusters and activities

9,800 acres

Target industries: Kulim International Airport, Sidam logistics, aerospace & manufacturing hub (SLAM)