February 28, 2025
MANILA – Thailand’s controversial plan to legalize casinos to lure more tourists is a “big threat” to the Philippines’ gaming sector, which would face fierce competition from a neighbor that already enjoys strong international arrivals.
Speaking to reporters, Alejandro Tengco, president and CEO of Philippine Gaming and Amusement Corp. (Pagcor), said the gaming regulator is now preparing the local industry for the potential rivalry with Thailand.
Among the steps being taken are improvements in the regulatory environment in order to attract more investments, as well as the “decoupling” of Pagcor’s mandate as both a regulator and casino operator to promote a level playing field.
“I’m making sure that Pagcor has stringent rules and regulations, and good guidelines to show that we stand on our own,” he said.
READ: Pagcor bets on hefty growth in 2025 PH gaming revenue
Last January, Thailand’s Cabinet cleared a draft bill legalizing casinos in hopes of attracting more tourists to boost its export-driven economy. Under the proposed legislation, casinos can be built in designated “entertainment complexes”.
If Thailand pushes through with its plan, the local gaming sector –– which is projected to post record revenues this year –– could face fierce competition.
Pagcor is projecting the industry’s gross gaming revenue (GGR) to reach between P450 billion and P480 billion in 2025, from P410.5 billion in 2024.
Such an outlook was based on the assumption that the online gaming sector would continue to boom, making it a reliable source of revenue for the entire industry. According to the Pagcor chief, e-games could soon “match” the GGR of brick-and-mortar casinos “in the next two to three years.”
Data showed the domestic gambling sector’s GGR grew by 24.81 percent in 2024, with income from e-games soaring by 309.20 percent to P135.7 billion.
Bulk of the GGR still came from licensed casinos after contributing P201.8 billion to the total receipts, albeit down by 2.72 percent.
Last January, Pagcor announced a fresh reduction to the remittance rates for e-games to encourage more investments in the online betting sector and convince illegal operators to register.