Philippines’ Online Gaming Surges Past ₱114B, Now Dominates Industry Revenues🎲

Updated: April 14, 2026

The Philippine gaming industry saw a major shift in the first half of 2025 as the online gaming segment surged to unprecedented heights, surpassing traditional casino earnings for the first time. According to the Philippine Amusement and Gaming Corporation (PAGCOR), revenues from the electronic gaming (eGames) sector—encompassing e-bingo and bingo operators—reached ₱114.83 billion between January and June, accounting for approximately 53.47% of the country’s total gross gaming revenues (GGR).

This figure not only represents a year-on-year increase of 82.6%, but also marks the first time that online gambling in the Philippines has exceeded US$2 billion within a six-month period.

“PAGCOR recognizes the earning potential of the e-games sector, but as the country’s gaming regulator, our foremost responsibility is to ensure that growth comes with accountability,” said PAGCOR Chairman and CEO Alejandro Tengco, according to Philippines News Agency.

Shift from Land-Based to Online Play

While the eGames sector enjoyed rapid growth, revenues from licensed land-based casinos experienced a downturn. These casinos—including large integrated resorts and gaming hubs in Metro Manila, Cebu, Clark, La Union, and Rizal—generated a combined ₱93.36 billion in GGR, contributing 43.5% to the industry’s overall earnings. That figure reflects a 5.9% decline compared to the same period last year.

Meanwhile, PAGCOR-operated casinos added just ₱6.56 billion to the total, making up a modest 3.1% of industry-wide GGR. This represents a significant 26.3% drop year-on-year, further highlighting the shift in consumer preferences toward digital platforms.

Overall, the total GGR for the entire Philippine gaming sector during the first six months of 2025 was ₱214.75 billion (US$3.75 billion), up 25.6% from the same period last year.

Tightening Oversight on Advertising and Public Health

As online gaming gains traction, PAGCOR is doubling down on efforts to ensure this growth is tempered by responsible practices. In line with this goal, the agency has signed a memorandum of understanding with the Ad Standards Council (ASC) aimed at improving the monitoring of gambling advertisements across all media channels.

Additionally, PAGCOR has mandated the removal of all gambling-related ads from public areas and primetime TV by August 15, citing the importance of aligning promotional practices with public interest.

“These efforts are part of our broader mission to ensure that online gambling is not only well-regulated but also aligned with public interest,” Tengco explained.

Tax Hike Proposal and Stricter Regulation Under Review

As the revenue generated from digital gaming continues to climb, the Philippine government is evaluating changes to how the sector is taxed. Finance Secretary Ralph Recto recently announced that the administration is reviewing a possible increase in license fees for online gambling operators, from the current 25% to potentially as high as 40% of gross gaming revenues.

Options being considered include tiered structures with rates of 30%, 35%, or 40%, as part of an effort to secure up to ₱200 billion in gambling-related revenue this year. The funds are expected to come from a near-equal mix of land-based and online gaming activities.

The tax proposal follows the Department of Health’s classification of online gambling as a “public health concern,” further pushing regulatory authorities to consider stricter frameworks for controlling the sector’s expansion.

President Silent on Nationwide Ban

Despite growing debates surrounding the social impact of online gambling, President Ferdinand Marcos Jr. made no mention of a potential nationwide ban during his recent State of the Nation Address. While previous reports suggested such a move might be under consideration, the lack of any formal statement leaves the future of regulatory reform still open-ended.

Nonetheless, PAGCOR continues to stress its role not just in generating income, but in maintaining ethical standards within the gaming industry. “Our role goes beyond revenue generation; and as partners of the government in nation-building, we are committed to always strike a balance between enabling industry expansion and ensuring it aligns with responsible gaming standards,” Tengco emphasized.