PAGCOR lowers rates for electronic games operators 1 April
The move should encourage even those now operating illegally to consider securing licenses from PAGCOR, which in turn should further boost PAGCOR’s licensing and regulatory revenues
To attract more gaming investments in the Philippines, gross gaming revenue remittance rates for online and on-site betting platforms will be reduced starting 1 April 2024.
In his keynote address during the opening of the ASEAN Gaming Summit at Shangri-La The Fort on Monday, 18 March 2024, Philippine Amusement and Gaming Corporation Chairman Alejandro H. Tengco said the rates for online and onsite betting platforms will be lowered by an average of five percent from current levels.
“The remittance rates should average around 35 percent (of Gross Gaming Revenue or GGR), which is quite significant because when we assumed office in August 2022, the prevailing remittance rate was over 50 percent.
At par with global standards
“We have gradually lowered them so that by 1 April, our rates will be at par with global industry standards,” he explained.
The move should encourage even those who are now operating illegally to consider securing licenses from PAGCOR, which in turn should further boost PAGCOR’s licensing and regulatory revenues, he added.
The PAGCOR chief said the sustained growth of the local gaming industry is currently anchored on three major factors.
“These are the entry and operation of more integrated casinos, the strong performance of the Electronic Games sector, and the benefits from the planned privatization of PAGCOR casinos,” Tengco told the summit audience.
PAGCOR earlier projected that the local gaming industry will generate Php336.38 billion in GGR in 2024.
E-Games sector
The E-Games sector alone, comprises of e-casinos, e-bingo, sports betting and specialty games, is projected to contribute P61.75 billion to the 2024 GGR, making it the fastest growing sector for the next few years.
Meanwhile, licensed casinos within Entertainment City, and in Metro Manila, Clark, Cebu and the Fiesta Casinos in Rizal and Poro Point are expected to contribute as much as P256.63 billion to the 2024 GGR.
“We expect gaming revenues to sustain growth this year and beyond with the increasing demand for leisure, travel and entertainment from both local and foreign tourists,” chairman Tengco said.
IR openings
“We will also have at least one new integrated resort (IR) opening every other year starting with Solaire North in Quezon City which will open its doors in the first half of 2024, followed by another new IR in Clark, with several more in the pipeline including one in Cebu.