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Gambling and online casinos in the Philippines
The Philippines is a unique country where gambling is not just allowed, but has become one of the key sectors of the economy.
Here, excitement is legalized, licensed and carefully regulated by the state.
Thanks to open policies and controlled conditions, the Philippines has become the leading center of iGaming and offshore casinos in Asia, second only to Macau in scale.
Legislative framework
The Philippines is one of the few countries in the region to have an official gambling licensing system covering both terrestrial and online operations.
Basic laws and bodies:1. Presidential Decree No. 1067-A (1977) — учредил Philippine Amusement and Gaming Corporation (PAGCOR).
2. Republic Act No. 9487 (2007) - extended the mandate of PAGCOR until 2032, consolidating it as a national regulator.
3. The Cagayan Economic Zone Authority (CEZA) is a separate jurisdiction licensing online gambling to international operators.
4. PAGCOR Offshore Gaming License (POGO) is a license system for offshore online casinos aimed at players outside the Philippines.
Key principles:- gambling is permitted under license from PAGCOR or CEZA;
- local citizens are only allowed to play land-based casinos;
- online gambling is prohibited for Filipinos, but allowed for foreigners;
- gambling tax - up to 25% of gross profit (GGR);
- control of AML, KYC and responsible gambling is mandatory.
PAGCOR - Heart of Philippine Gambling
PAGCOR (Philippine Amusement and Gaming Corporation) is a state-owned corporation that simultaneously acts as a regulator and operator of the gambling sector.
PAGCOR functions:- casino licensing and supervision;
- regulation of POGO (offshore operators);
- tax control;
- protecting players and adhering to responsible play;
- distribution of income between social programs and the budget.
PAGCOR provides up to 2% of the country's GDP, and in 2024 its income exceeded ₱80 billion ($1.4 billion).
Land-based casinos
There are dozens of licensed casinos in the Philippines - both public and private.
Major operators:- City of Dreams Manila (Melco Resorts)
- Resorts World Manila (Genting Group)
- Okada Manila (Tiger Resort Leisure)
- Solaire Resort & Casino (Bloomberry Resorts)
- Newport World Resorts (Travellers International)
These complexes are integrated resorts (IR) with hotels, theaters, restaurants and shopping centers.
The Philippines is actively competing with Macau and Singapore for VIP tourists and players from China, Korea and Japan.
Online Gambling (POGO)
Since 2016, the Philippines has become the center of Asian online gambling, thanks to the creation of the POGO (Philippine Offshore Gaming Operators) system.
Features of POGO licenses:- only foreigners (not Filipino citizens) are allowed to serve;
- servers and personnel must be located in the country;
- KYC, AML, and IT security compliance required
- monitoring is performed by PAGCOR.
- more than 130 licensed POGO operators;
- more than 100,000 employees are employed, including IT specialists, marketers and support;
- sector income - $1.6 billion per year;
- about 15% of Manila's office market is occupied by POGO companies.
CEZA and offshore licenses
The Cagayan Economic Zone Authority (CEZA) grants separate licenses to international iGaming companies.
CEZA targets operators operating outside the Philippines and is often used to legalize European and Chinese brands.
The CEZA license entitles you to:- online gambling in any country except the Philippines;
- storage of servers in special zones;
- the use of cryptocurrencies and tokens;
- 5-year tax credit.
Taxation
Control and responsibility
The main regulatory structures are:- PAGCOR - Licensing and Auditing;
- Anti-Money Laundering Council (AMLC) - transaction control;
- Department of Labor (DOLE) - control of labor migrants;
- Bureau of Internal Revenue (BIR) - tax collection.
- mandatory registration of all players in the base;
- KYC and the ban on Filipino citizens participating in POGO;
- AMLC transaction monitoring system;
- licenses are subject to annual audit.
Social and economic role
Gambling plays a key role in the Philippine economy:- generate billions in tax revenue;
- create tens of thousands of jobs;
- support tourism and foreign investment.
- the total income of the gambling sector exceeded ₱285 billion ($5 billion);
- exports of IT services through POGO grew by 35%;
- about 40% of PAGCOR's profits go to social programs - health care, housing and education.
Challenges and challenges
Despite its success, the industry faces a number of challenges:- pressure from China to shut down offshore operators;
- scandals with illegal "POGO clones";
- cases of labor slavery and money laundering;
- the need to implement FATF (Financial Action Task Force) standards.
In 2023, the government tightened supervision, reducing the number of POGO licenses from 300 to 130 and introduced a mandatory audit of each company.
Prospects
The Philippines plans to remain a regional hub for iGaming, modernizing its licensing and transparency system.
In 2025-2030, the government aims to:1. Creation of a national eGaming Hub platform with centralized control.
2. Attracting investment in new resorts (Clark, Cebu).
3. Simplification of tax policy for POGO 2. 0.
4. Promoting the country as a "safe iGaming jurisdiction" in Asia.
The Philippines is the leader of legal gambling in Asia, combining government control with market openness.
Here, excitement has become an economic tool, not a social threat.
