Online gaming transactions in the Philippines have fallen by up to 50% since the central bank ordered e-wallet operators to cut ties with gambling sites, according to Philippine Amusement and Gaming Corporation (PAGCOR) Chairman Alejandro H. Tengco.
Speaking at a House committee hearing, Tengco said licensed operators under PAGCOR complied with the Bangko Sentral ng Pilipinas (BSP) directive, but the move has fueled growth in illegal gambling platforms.
Illegal Sites Gain Ground
Tengco estimated that 60% of online gaming operators targeting Filipinos are illegal, operating from countries such as Russia, Dubai, Abu Dhabi, and Cambodia. He warned that these platforms offer larger bonuses to attract repeat players and now account for most of the 12,000 illegal sites compared to just 77 licensed operators.
“Everything we hear about kids who are addicted, I can assure you that the unregulated sites are the cause of this problem now,” he told lawmakers.
Limits on Bets and Deposits Under Review
Although PAGCOR cannot directly shut down illegal websites, Tengco said the regulator continues to flag them for law enforcement. He also revealed that minimum bet and deposit limits are under consideration to reduce excessive gambling on licensed platforms.
Revenue Outlook Remains Strong
Despite the decline in legal online transactions, PAGCOR still expects to generate PHP116.65 billion (US$2.04 billion) in revenue this year, with around PHP65 billion (US$1.14 billion) coming from the online sector.
