The Philippine gambling industry is poised to reach unprecedented heights in 2024, with revenues projected to exceed PHP 350 billion (USD 6.03 billion). This figure, announced by Philippine Amusement and Gaming Corporation (PAGCOR) Chairman and CEO Alejandro Tengco, marks a 23% increase from 2023’s gross gaming revenue (GGR) of PHP 285 billion. The projection also surpasses PAGCOR’s 2024 target ofPHP 334 billion, emphasizing the robust growth of the sector.
Philippine gambling sector to break revenue records:
“Our GGR for the year, I think it’s over 350 billion pesos,” Tengco shared during a recent press briefing, as reported by Inside Asian Gaming. As a vital industry metric, GGR represents the total amount wagered by players minus their winnings, reflecting the industry’s overall health and profitability.
This surge in revenue is particularly significant for the Philippines, as PAGCOR contributes a substantial portion of its earnings to the national budget. With its operations directly under the office of the Philippine president, the regulator plays a critical role in funding public services and infrastructure development.
The rapid expansion of electronic gaming (e-gaming) platforms has been a major factor behind the industry’s success. This segment includes popular offerings like eCasino, eBingo, sports betting, and specialty games. PAGCOR’s latest quarterly report highlights this trend, with gross gaming revenue reaching PHP 94.6 billion in the third quarter of 2024. This marks a 37.5% increase compared to the same period last year and a 6% improvement over the second quarter.
According to Reuters, Manila’s bustling casino resorts have also contributed significantly to the industry’s growth. Often likened to a more compact version of Las Vegas, the city’s integrated resorts attract affluent players from across Asia, including high rollers from China, Japan, and South Korea. Notable operators such as Universal Entertainment Corp and Melco Resorts & Entertainment continue to draw international visitors, boosting tourism revenues alongside gaming profits.
POGO ban nearing final phase:
Amid this financial success, the Philippine gambling industry is also undergoing a critical structural overhaul. PAGCOR is on track to complete its nationwide ban on Philippine Offshore Gaming Operators (POGOs) by the end of 2024. The move aligns with President Ferdinand Marcos Jr.’s directive, issued during his State of the Nation Address in July and later formalized through an executive order in November.
“From 48, as of November 30 we’re down to about 13 and by December 15 … it will be zero,” Tengco explained. He further clarified that any POGO still operating beyond January 1, 2025, would be deemed illegal.
The POGO ban stems from escalating concerns over their involvement in criminal activities, including human trafficking, kidnapping, and various forms of fraud such as cryptocurrency scams. The offshore gambling industry, which began flourishing in 2016 by leveraging the Philippines’ lenient regulations, primarily targeted Chinese customers, where gambling is prohibited. However, reports of POGO-linked crimes have led to growing domestic and international pressure for their shutdown.
The crackdown is expected to restore public trust and pave the way for a more regulated and secure gambling environment. While the ban may result in short-term revenue losses, PAGCOR remains optimistic about the long-term stability of the industry, driven by the growth of legitimate gaming sectors like e-gaming and integrated resorts.
As Manila continues to attract international tourists and high-stakes players, the Philippines solidifies its reputation as a leading gambling hub in Southeast Asia. With revenues expected to surpass PHP 350 billion this year, the industry’s future looks brighter than ever.
