The coat of arms of Penang is largely based on the coat of arms of Penang first granted to the Settlement (now State) of Penang, then in the Federation of Malaya, by a Royal Warrant of King George VI dated 11 September 1949. Between 1911 (the date of a previous Royal Warrant) and 1946, when the colony of the Straits Settlements was dissolved, the Settlement was represented in the Straits Settlements' coat of arms by the second quarter, Argent on a mount an areca nut palm tree Proper. The Areca-nut palm is the tree from which Penang (Pulau Pinang) derives its name.

Settlement and state arms

The coat of arms as granted was blazoned: The Prince of Wales's feathers and the motto Ich Dien referred to the fact that Penang was founded in 1786 as the Prince of Wales Island, while the blue and white bars are in reference to the Malacca Straits that surround Penang Island, separating it from Province Wellesley (now Seberang Perai) on the mainland. The Areca-nut palm on the crest represents the origins of the Island's name. The motto Bersatu dan Setia (Malay: "United and Loyal") was adopted by the Settlement Council of Penang in 1950. As this was during the height of the Penang secessionist movement, the motto may have implied loyalty to the British crown, rather than to the Federation of Malaya. Penang also has an unofficial motto, "Let Penang Lead".

Present-day state arms

Subsequently, after the construction of the Penang Bridge from 1982 to 1985, the state coat of arms was changed to the present design, which can be blazoned as:

Historical state arms

City council arms

George Town City Council

The arms of the Municipal Council (from 1 January 1957, City Council) of George Town were granted by the English College of Arms on 4 September 1953, based on the arms of the Settlement of Penang: The motto is a combination of the motto of the Prince of Wales, Ich Dien (I serve), and the unofficial motto of Penang, "Let Penang Lead".

Penang Island City Council

In 1974, the George Town City Council was merged with the Penang Island Rural District Council to form the Penang Island Municipal Council (now Penang Island City Council). The arms of the municipality is displayed on a native shield and contains much local symbolism, but generally conforms to traditional English heraldic principles, and may be blazoned as follows. The municipal arms is retained by the Penang Island City Council when it was accorded city status for the entire Penang Island in 2015, hence succeeding the Municipal Council.