PAGCOR reiterates plan to split regulator, operator roles

The Philippine Amusement and Gaming Corporation (PAGCOR) on Tuesday reiterated its plan to decouple the agency's dual roles as operator and regulator.

"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," PAGCOR chairman and CEO Alejandro Tengco said in a statement.

Tengco, however, said PAGCOR must first obtain the approval of the Governance Commission for Government-Owned and Controlled Corporations or GCG, which is now reviewing required documents.

He added that decoupling PAGCOR's dual role also requires careful legal consideration as PAGCOR is governed by Presidential Decree 1869 and Republic Act 9487.

Nevertheless, Tengco assured that Casino Filipino employees would be protected through redeployment, absorption by privatized operators, or grant of competitive retirement benefits once privatization of PAGCOR's gaming operations takes place.

As early as March 2023, the PAGCOR chief disclosed the agency's plan to privatize the agency's self-operated casinos, Casino Filipino, and instead focus on a purely regulatory role.

Meanwhile, Tencgo said the Philippine gaming industry is on track for another record year in 2025 with gross gaming revenues (GGR) on track to hit $7 billion, higher than the $6.5-billion GGR in 2024.

As of the first half of this year, the country's GGR already reached $3.8 billion.

"These numbers affirm the Philippines' place as one of the fastest-growing and most important gaming markets in Asia," Tengco said.

The PAGCOR chief said the rapid rise of electronic gaming has contributed significantly to expansion but added that oversight must evolve to ensure integrity and player protection. 

"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.

Among the gaming agency's recent measures were the launch of the PAGCOR Guarantee Page to verify licensed platforms, responsible gaming tools such as self-exclusion and betting limits, and a 24/7 helpline set up with the Seagulls Flock Foundation.

PAGCOR has also banned the use of credit cards and cryptocurrencies for betting, tightened rules on gambling advertisements in partnership with the Ad Standards Council, and expanded coordination with law enforcement and cyber crime agencies to address illegal online gambling.

Tengco also cited the country's removal from the Financial Action Task Force grey list earlier this year was a milestone that strengthened investor confidence and validated compliance efforts against money laundering and financial crimes. — VDV, GMA Integrated News