Penang Government’s Go Cashless System

Policy Upgrade Overview

Core shift: Government agencies accept cash only 1 day per week (3-month trial). The policy is backed by 97% of Penang residents already using e-payments, which boosts efficiency for the 2030 fully cashless goal. September data shows 89% of transactions are cashless—surpassing the 75% trial target.

Efficiency gains are evident

During the visits to physical merchants, the actual application effect of the cashless payment system became the focus of discussion. Multiple merchants shared their direct experiences and real problems related to the use of the system. 

"After connecting, the efficiency improvement was particularly significant." When talking about the changes brought by the system, the merchant stated straightforwardly that the troublesome cash-dispensing process during peak hours was completely eliminated. Now, the checkout speed is twice as fast as before, and the number of customer complaints due to long waiting times has significantly decreased. The service rhythm in the store has also become much smoother. 

In daily operations, merchants also pointed out the problems they encountered during use: "Occasionally, the network of the equipment would get stuck, and once it did, it would easily cause payment delays, affecting the customer's shopping experience. Additionally, there is a transaction fee for small transactions. Although it seems insignificant each time, the cumulative effect over time amounts to a considerable operating cost."

Exclusive Sign for Contactless Payments, a Clear Reminder for Cashless Transactions. (Source: Xiaohongshu)

On-Site Implementation & Public Views

Most days, only digital payments (QR codes, e-wallets) are accepted; cash days are

reserved for late adopters (e.g., seniors). Help desks at agencies ease transitions, though minor tech issues (like network glitches during QR scanning) occasionally occur.

Citizens scanning phones for payments at government counters; staff aiding seniors with mobile payment setup; a sign listing “Accepted Cashless Methods” (QR codes, e-wallets).

Penang’s Go Cashless trial builds an efficient, tech-adaptive government—turning the 2030 fully cashless goal from a vision into a tangible reality.

A Step Toward Digital Governance for Penang

For Penang, a state where daily life (from market shopping to utility payments) has already embraced digital transactions, the Go Cashless trial is more than a policy update—it's an alignment of government services with residents' existing habits. Beyond efficiency, the initiative strengthens public trust in digital governance: by keeping cash days for those who need them and resolving tech issues fast, it ensures no one is left behind. As the trial progresses, it not only moves Penang closer to the 2030   goal but also sets a benchmark for other   Malaysian states exploring administrative digitization.

Title: Launch Ceremony of Cashless 3.0 in Penang, Malaysia. (Source: Xiaohongshu)