Perlis

Malaysia's border-trade hub with the nation's highest solar potential

Malaysia's smallest state economy, with the most concentrated transformation upside. Border trade with Thailand worth RM7.9 billion (2021).

GDP (2025)

RM6.7B

Real growth

2.0%

Approved 2021–2025

RM0.9B

Working age

0.21M

#6 fastest-growing manufacturing sector in MalaysiaHighest working-age share in SG4 (72.0%)

Economy by Sector

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

Services72.5%+3.1%
Agriculture16.7%-1.9%
Manufacturing7.8%+4.2%
Construction2.4%-8.2%
Mining & Quarrying0.5%+2.7%

Largest sector

Services

72.5% of GDP

Fastest growing

Manufacturing

+4.2% in 2025

Approved Investment

2021–2025, all economic sectors. Administration in office since November 2022.

0.3

2021

0.1

2022

0.2

2023

0.1

2024

0.2

2025

Total approvedRM0.9B

MIDA Investment Performance Reports. Figures are investment approved in each year, not received — projects typically take 18–24 months to reach full operation. This administration took office in November 2022, so the series also includes years before it.

Places to Invest

Perlis Inland Port (PIP): flagship project transforming Perlis into a cross-border trade hub.
Chuping Valley Industrial Area (CVIA): 1,006.85 hectares, RM4.5 billion committed investment.
Chuping Agro Valley & Perlis Superfruits Valley: premium agriculture (MD2 pineapple, Harum Manis mango).
Solar advantage: highest sun radiance in Malaysia.
Bukit Kayu Hitam ICD Hub: cross-border logistics gateway.

Strategic Narrative

Transformation from agriculture base to modern industrial state.

Perlis Digital Plan 2021–2025; harmonious city-state by 2030.

NCER incentives: among Malaysia's most generous (100% tax exemption for 10 years).

Investment Agencies

PKENPS (Perlis State Economic Planning)NCIA

Enquire About Investment

0.297 million

Population

819 sq km

Land Area

Districts

96.6%

Citizens

Logistics Network

Airports

Sultan Abdul Halim Airport (Kedah, shared access)

Railways

Electric Train Service (ETS): Gemas – Padang Besar & KL Sentral – Padang Besar
KTM Komuter: Butterworth – Padang Besar
KTMB Network: Padang Besar, Bukit Keteri, Arau

Highways

Changlun – Perlis Highway: 47.64 km
Lebuh Raya Utara Selatan (PLUS Highway): Johor – Bukit Kayu Hitam (772 km)

Ports

Perlis Inland Port (PIP)
Kuala Perlis Port

Industrial Parks & Zones

Chuping Valley Industrial Area (CVIA)

3,000 acres

Target industries: Green manufacturing, automotive, institution, integrated business centre, solar farm

Perlis Inland Port

300 acres

Target industries: Consolidation & distribution centre, container yard capacity, new rail connection, cargo handling

Kangar Development

6,472 acres

Target industries: Integrated public transport, specialist hospital, commercial and retail centre, city centre development