PAGCOR pushes decoupling plan as gaming revenues climb
The Philippine gaming industry is expected to hit record highs this year, with gross gaming revenues (GGR) already surpassing $3.8 billion in the first six months of 2025, the Philippine Amusement and Gaming Corporation (PAGCOR) has announced.
Speaking at an event in Pasay City, PAGCOR Chairman and CEO Alejandro Tengco said industry GGR rose from $3.75 billion in 2022 to $6.5 billion in 2024, putting the sector firmly on track to reach a US$7 billion target this year.
Growth remains both sustainable and responsible
“These numbers affirm the Philippines’ place as one of the fastest-growing and most important gaming markets in Asia,” Tengco said, adding that reforms have been implemented to ensure growth remains both sustainable and responsible. The PAGCOR chief said that electronic and online gaming had been a major driver of expansion, but he stressed the need for appropriate safeguards.
“The unprecedented and exponential growth of online gaming truly comes with success and revenues, but, for us, our responsibility is to ensure that this sector’s growth comes not just with profit but with accountability, integrity, and player protection,” he said.
To reinforce regulatory oversight, PAGCOR has introduced several measures, including the launch of the PAGCOR Guarantee Page for platform verification, responsible gaming tools such as self-exclusion and betting limits, and a 24/7 helpline with the Seagulls Flock Foundation.
The regulator has also prohibited the use of credit cards and cryptocurrencies for wagering, restricted gambling advertisements in collaboration with the Ad Standards Council, and worked more closely with law enforcement and cybercrime units to curb illegal online gambling.
The country’s removal from the Financial Action Task Force (FATF) grey list earlier this year was also highlighted by Tengco as a milestone that has boosted investor confidence and validated compliance with anti-money laundering standards.
Plans to separate roles
Tengco also reiterated PAGCOR’s intention to decouple its commercial operations from its regulatory role. “PAGCOR’s dual role has served its purpose in the past, but as the industry matured, it became clear that – in layman’s terms – a referee cannot also be a player on the same field,” he said.
Approval from the Governance Commission for Government-Owned and Controlled Corporations (GCG) is still required before the plan can move forward. Legal hurdles also remain, with PAGCOR’s mandate tied to Presidential Decree 1869 and Republic Act 9487.
Employee protection amid transition
Addressing concerns over job security, Tengco said PAGCOR employees would be supported throughout the transition. He assured that Casino Filipino staff would be protected through redeployment, absorption by privatised operators, or competitive retirement packages once the decoupling process is complete.
The issue has been a source of debate between PAGCOR and the PAGCOR Employees’ Association (PAGCEA). Tengco recently met with the newly elected PAGCEA leadership to strengthen communication and cooperation. He recognised the union as the sole representative of PAGCOR employees and expressed a commitment to promoting staff welfare amid operational changes.
Past tensions between management and employees have included disputes over privatisation plans and allegations about spending priorities. However, recent talks signalled an effort to rebuild trust as the agency proceeds with reforms.
Balancing growth and responsibility
Tengco said that PAGCOR’s transition aims to align the Philippines with international standards while balancing industry growth and regulatory integrity. By shifting to a purely regulatory role, PAGCOR expects to streamline operations, attract more private investment, and contribute more revenues to government projects in education, health, and infrastructure.
