PAGCOR opposes a bill proposing an outright ban on online gambling in the Philippines, instead suggesting key regulatory initiatives.
PAGCOR is a state-owned entity with a dual mandate. It functions in an operational and regulatory capacity, managing government-owned casinos under the Casino Filipino brand, and overseeing the licensing and regulation of private gaming operators.
As one of the country’s foremost contributors of national revenue, PAGCOR trails only the Bureau of Internal Revenue and the Bureau of Customs, with a significant portion of its earnings supporting infrastructure, education, health, and disaster relief initiatives.
The regulator faces some tough challenges ahead, however, with calls for an outright ban on online gaming, and President Ferdinand Marcos Jr. reportedly keeping a close eye on legislative initiatives, such as the proposed Anti-Online Gambling Act of 2025, which targets the industry.
Senator Juan Miguel Zubiri has introduced a bill seeking an outright ban on online gaming in the Philippines, stating that gambling is “quietly harming Filipinos, especially minors and the most vulnerable.”
In drafting the bill, aptly called the “Anti-Online Gambling Act of 2025”, Zubiri drew a parallel between the threat once posed by Philippine Offshore Gaming Operators (POGOs) and the growing danger of local online gambling platforms, saying:
We already shut the doors on POGOs for the damage they caused. But an even more dangerous problem has crept into our homes: online gambling that targets our own people.
Under the bill, Internet Service Providers (ISPs), mobile network operators and digital platforms are mandated to block access to gambling websites and remove related apps within 72 hours of receiving notice from the Department of Justice or PAGCOR. Failure to act promptly could result in fines, license suspension or even revocation.
Digital wallets and payment service providers, such as credit cards, GCash, Paymaya, and others, are barred from enabling transactions related to online gambling activities.
Any entity facilitating the placing of bets, promoting gambling content or advertising betting sites, whether through traditional media, social media or influencer marketing, will be held liable.
According to the proposal, violators would face steep penalties, with the first offence carrying a fine of P20 million and a six-month licence suspension and a second infringement costing P50 million or a 12-month suspension.
A third offence carries a fine of at least P100 million, permanent licence revocation and the criminal prosecution of leading executives with penalties of up to six years of imprisonment.
Despite growing calls for a total ban on online casinos, PAGCOR believes that regulation is a more realistic and beneficial path for the Philippines than prohibition.
In a recent interview, PAGCOR Chairman Alejandro Tengco emphasised that distinguishing between legitimate online operators and illegal offshore groups that evade regulation and taxes, targeting Filipino users, is crucial.
He went on to add that half of the incoming revenue directly funds social services, such as the Universal Health Care Act, the Philippine Health Insurance Corp. and others, stating:
We collected around P50 billion from online gaming operations in 2024. If properly regulated, online gaming can be a major contributor to government services and economic development.
Tengco also noted that the regulator was exploring a range of innovative measures, such as AI tools to monitor and regulate the gambling behaviour of online gamers and is investing in AI-powered systems to track player activity and enforce self-exclusion when necessary.
Similar measures were also under consideration regarding KYC tools to ensure all registered users are at least 21 years old. He added that these technologies were being used to great effect in Canada and the US.
On July 16th, PAGCOR signed a deal with the Advertising Standards Council to regulate the outdoor and digital advertising of online gambling operators.
All online gambling ads, including billboards and primetime TV placements between 5:30 p.m. and 8:30 p.m.will now be covered by strict guidelines.
The regulator is also coordinating with the Department of Trade and Industry and the National Telecommunications Commission to address complaints about pre-installed casino gaming apps on mobile devices and the aggressive digital advertising targeting users, including minors.
The Department of Finance (DOF) is currently finalising its proposal to impose an online gambling tax, with details expected to be released soon.
With President Ferdinand Marcos Jr open to this proposal, as it would likely include suggestions like stricter regulation and other measures to exert greater control over online gaming’s social impact, the greater probability is that the Philippines will see increased regulatory oversight rather than an outright online gambling ban.
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