The Philippine Amusement and Gaming Corp. (PAGCOR)’s contribution to the government increased by 25 percent yearly in May, highlighting the sustained resurgence of the gaming sector in the Philippines.
Bureau of the Treasury data reveal that the country’s gaming regulator and operator remitted PHP3.27 billion ($55.9 million) to the state in May 2024, compared to PHP2.6 billion ($44.4 million) in May 2023.
According to the Manila Bulletin, PAGCOR’s remittance in May boosted its total for the first five months of the year to PHP17.38 billion ($297 million), a 31 percent increase from PHP13.25 billion ($226.5 million) in the same period last year.
Moreover, PAGCOR’s contributions to the Treasury from January to May this year surpassed the pre-pandemic total of PHP13.25 billion ($226.5 million) in 2019, reflecting the gaming sector’s recovery and resilience after the Covid-19 pandemic.
The government had introduced strict lockdown measures starting March 16th, 2020, which lasted two years, making it one of the longest lockdowns globally.
During the extended pandemic period, the Philippine gaming industry faced challenges, with casinos operating at reduced capacity and restrictions on foreign gamblers’ entry.
By law, PAGCOR, the third-largest revenue-generating agency for the government, must allocate 50 percent of its net revenue to the national government.
For 2024, the Treasury expects to receive PHP29.87 billion ($511 million) from PAGCOR.
Earlier reports from PAGCOR indicated that the country’s gross gaming revenues (GGR) in the first quarter of the year reached PHP81.70 billion ($1.4 billion), an 18.5 percent increase from the PHP68.92 billion ($1.18 billion) recorded in the same period last year.
PAGCOR Chairman and Chief Executive Alejandro H. Tengco previously stated that the electronic games sector continues its record-breaking performance, bringing in PHP22.5 billion ($385 million)—over six times the first quarter revenues of PHP3.5 billion ($59.8 million) in 2023.
In general, PAGCOR anticipated its GGR in 2024 to reach PHP336.38 billion ($5.9 billion).
This target represents a significant increase of 17.9 percent, equivalent to PHP51.11 billion ($906.3 million) compared to the actual GGR recorded in 2023, which stood at PHP285.27 billion ($5 billion).
Specifically focusing on PAGCOR-run casinos, the projections indicate a robust performance, with anticipated revenues from gaming operations expected to reach PHP81.27 billion ($1.4 billion) by the end of the year.
This forecast marks a 2.39 percent growth, amounting to PHP1.9 billion ($33.6 million) more than the actual PAGCOR casino revenues recorded in 2023, which amounted to PHP79.37 billion ($1.4 billion).
