THE Sultan of Kedah has called on the federal government to review the annual lease payment for Penang, saying the amount received by the state no longer reflects its present-day value.
In his royal address, Sultan Sallehuddin Sultan Badlishah said the existing payment is based on an agreement reached many years ago and should be reassessed to better reflect current circumstances while remaining consistent with the original intent of the arrangement.
“The lease payment received by my government is based on an agreement entered into a long time ago. However, the amount paid today is far below what would be considered appropriate,” the ruler said.
Sultan Sallehuddin made the remarks during the Investiture Ceremony and Audience at Istana Anak Bukit today.
The ceremony was also attended by the Sultanah of Kedah, Sultanah Maliha Tengku Ariff; the Raja Muda of Kedah, Tengku Sarafudin Badlishah Sultan Sallehuddin; and the Raja Puan Muda of Kedah, Che Puan Muda Zaheeda Mohamad Ariff.
The ruler also reminded all parties that Kedah’s rights and sovereignty, as provided for under the Federal Constitution, must be respected.
The issue of Penang’s annual lease payment has periodically resurfaced in public debate, with Kedah maintaining that the longstanding arrangement should be reviewed to better reflect present-day realities. – July 5, 2026
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