Paya Terubong is a residential suburb located in the Malaysian state of Penang. It is situated within the central valleys of Penang Island, positioned approximately 7 km (4.3 mi) southwest of George Town and south of Air Itam.
Originally established as an agricultural village, the area underwent rapid development during the final decades of the 20th century. This growth transformed Paya Terubong into its current status as a primary residential suburb.