PAGCOR’s Half-Year Gaming Revenue: A Double-Edged Sword
On Tuesday, the Philippine Amusement and Gaming Corporation (PAGCOR) revealed that its gross gaming revenue (GGR) for the first half of 2025 reached PHP214.75 billion (approximately $3.72 billion), marking a significant 26% increase compared to last year. A substantial portion of this revenue, over 50%, came from electronic gaming (e-games), which soared by an impressive 82.67% year-on-year.
While this uptick in GGR may seem like a robust success story, the figures reveal a stark contrast in the performance of traditional land-based casinos, which generated PHP93.36 billion — a 5.85% decline from 2024. This shift raises crucial questions about the sustainability and implications of an increasingly online gaming landscape in the Philippines.
The Controversy Surrounding E-Games
The meteoric rise of e-games has faced scrutiny from various sectors, highlighting concerns over their addictive potential, especially among vulnerable populations such as youth and low-income households. Critics argue that the perpetual access to gambling facilitated by online platforms may exacerbate existing social issues, including financial strain and crime rates.
In response to these rising concerns, Senator Juan Miguel Zubiri has introduced Senate Bill 142, aiming to implement an outright ban on all online gaming catering to local users. If passed, this measure would require internet service providers and digital platforms to deny access to all online gambling sites within a mere 72 hours and prevent payment processors from handling e-game transactions.
Zubiri has been vocal about the troubling cultural implications of celebrity endorsements for these games, stating that they trivialize the financial hardships faced by many—especially children, who might resort to deceitful measures to fund their gambling habits.
PAGCOR’s Defense: A Builder of the Nation
Despite the mounting criticism, PAGCOR has positioned itself as a vital contributor to national development through its gaming revenues. The agency reported a significant increase in its contributions to national priorities, totaling PHP38.1 billion this year—up from PHP31.8 billion in 2024. This financial windfall supports various sectors, including healthcare, education, and infrastructure.
PAGCOR Chairman Alejandro Tengco underscored the organization’s commitment to balancing revenue generation with responsible gaming practices, acknowledging both the growth potential of e-games and the paramount importance of regulatory accountability.
Advocating for Regulation Over Prohibition
In light of ongoing debates, Tengco advocates for more stringent regulations rather than an outright ban on e-games. Legislative efforts like House Bill 1351, backed by Representatives Chel Diokno, Perci Cendaña, and Dadah Ismula, aim to impose a 10% tax on e-gaming revenues to finance addiction recovery initiatives. This bill also seeks to restrict advertising, limit gaming access for those under 21, and mandate that operators identify and mitigate risky gambling behaviors.
Diokno emphasized a comprehensive governmental approach to effectively address the adverse effects of online gambling, underscoring the need for collaborative efforts across various sectors to safeguard the public.
Recently, PAGCOR took proactive steps by partnering with the Ad Standards Council to ensure all gambling-related advertisements undergo pre-screening, targeting misleading content and protecting at-risk populations. Furthermore, the removal of gambling ads from public spaces and primetime TV has been ordered for implementation by mid-August.
Tengco reiterated the organization’s broader vision: "Our mission goes beyond regulation; it aims to align online gambling with the public’s interests."