The government will not be forking out any money to pay for Psy’s performance in Penang this Chinese New Year.

Penang Barisan Nasional (BN) chairman Teng Chang Yeow said the show by the South Korean is sponsored by a corporate company.

“It is not paid by Barisan Nasional” he stressed when contacted by Astro Awani.

Teng, however, refused to disclose the name of the company who will be footing the bill for Psy's scheduled performance.

When asked how much it cost to bring the pop star to Malaysia, Teng said he has yet to get any confirmation on the matter as everything is being arranged by the corporate company.

The international superstar, famous for his hit song ‘Gangnam Style', is expected to perform in the state in conjunction with BN’s Chinese New Year open house on February 11 along with local singer Shila Amzah.

News on Psy performing at the event received mixed reactions from the online community especially on Twitter.

Some felt quite uneasy due to the high cost involved as they fear it would involve taxpayers’ money while there were others who suggested it would be cheaper if the organisers featured local singers instead.

Earlier, Penang Gerakan vice-chairman Wong Mun Hoe said Psy’s performance on Feb 11 is a “gift” from Barisan Nasional to the rakyat.

He also said that bringing Psy to Penang was not politically motivated and is purely for entertainment.