PAGCOM Could Replace PAGCOR as Philippines Consider Revived Bill

A new bill could replace the Philippine Amusement and Gaming Corporation (PAGCOR) with a new regulatory body as lawmakers seek to reform the Asian country’s gambling sector. The PAGCOR, for context, is a 100% government-owned entity that is currently in charge of regulating gambling.

House Bill 3559, which was introduced in August 2022, seeks to create a new regulatory body and eliminate the government’s stake in the gambling sector. Originally submitted by finance secretary Ralph Recto, the bill is now being revived by Jonathan Keith Flores, a senior Representative and chairman of the Committee on Government Reorganization.

Under the bill, the PAGCOR would be replaced with the Philippine Amusement and Gaming Commission (PAGCOM), a new government-owned regulatory body that would be in charge of regulating land-based casinos and online gambling.

According to Flores, the Government Reorganization and Games and Amusement committees are planning to work on a new bill that would also phase out all Philippine Offshore Gaming Operations (POGOs), operators that have been a point of contention for years.

As per the bill, the PAGCOM would collect 5% of casinos’ GGR as tax and an additional 25% from the aggregate gross earnings. The money would fuel gambling treatment centers across the country.

The introduction of a new regulator would effectively eliminate the conflict of interest caused by the fact that the PAGCOR currently serves as both regulator and casino operator.

The PAGCOR Is Already Planning to Focus on Pure Regulation

Flores called for lawmakers to support House Bill 3559, in line with earlier calls to reform the local gambling sector and transition the PAGCOR to purely regulatory functions. The corporation, for reference, operates a variety of land-based casinos and satellite locations under the Casino Filipino brand.

The PAGCOR had previously mulled over divesting its casino assets in order to focus on regulation but eventually decided to keep its gambling operations. In the wake of leadership changes, however, the PAGCOR did sell some of its properties and is planning to divest the rest of them by Q1 2026.

According to the regulator’s current leader, Alejandro Tengco, the PAGCOR is hard at work getting the casinos ready for their eventual sale. Earlier this year, he confirmed that the PAGCOR is bullish on keeping its promise and continuing the divestment of the government-owned corporation’s gambling assets.

Tengco was certain that the process would eventually create a better and more lucrative market.