The Philippine Amusement and Gaming Corp (Pagcor) looks forward to significant changes in the way the gaming industry is operated in the Philippines. As Alejandro Tengco, president and CEO of the regulator, claims, Pagcor will reduce its share of revenues.
The reduction of the quota to regulate the market:
The revenue share what Pagcor earns is deducted from the online casinos available in the Philippines and the reduction is one of the ways to make the market and the casinos themselves more competitive. On the other hand, it is a significant step towards minimization illegal gambling operations in the country, which is a big problem in the Philippines.
Tengco says it plans to reduce the share between 30% and 32%. For comparison, it used to be 50% before the regulator decided it was time for a change. Pagcor hopes that the entire process will be completed by next year.
Like GGRAsia relationshipsTengco said: “It is now at 42.5% and I plan to take it to 37.5% by March (this year),” Tengco said, signaling there would be further reductions in the near future. I just want to kill illegal gambling. (This) spread because Pagcor was charging (licensees) so much.”
Research was conducted on illegal casinos in the Philippines and the media revealed it disappointing results – Tengco claims agency loses approximately PHP 1 billion ($17.8 million) every month due to illegal online casinos that are not licensed in the country. Besides that, the number of illegal casinos and legal ones is less enormous pressure.
According to Tengco, on average six casinos closed their operations in the Philippines every month. However, after Pagcor reduced its revenue share to 42.5%that number has dropped to one or two casinos per month.
However, the gaming industry in the Philippines is thriving. Pagcor expects the annual gross revenues of the game (GGR) to be achieved by 2024 PHP336.38 billionand that amount would be included non-casino operations.
Licensed commercial casinos are expected to take the lead in contributing to revenue, but electronic gaming is also estimated to contribute hugely to overall revenue with an estimated revenue of PHP61.75 billion in 2024.
Besides that, Pagcor is working hard on the launch your own brand of online casino, which will surely increase the country’s revenue. THE casinofilipino.comthe new brand will be launched in the second half of 2024.