Opposition to Philippine Offshore Gaming Operators (POGOs) is intensifying, with business associations, economic think tanks, and political groups now advocating for a ban.
Critics argue that the detrimental effects on society outweigh the purported economic benefits, particularly targeting Chinese-focused POGOs.
According to a report from Philstar, several business groups expressed strong support for a complete POGO ban, citing their alleged involvement in illegal activities within the country.
In a joint statement, the Makati Business Club, Alyansa Agrikultura, Financial Executives Institute of the Philippines, Foundation for Economic Freedom, Institute of Corporate Directors, Justice Reform Initiative, Management Association of the Philippines, and the UP School of Economics Alumni Association endorsed the recommendation of Department of Finance Secretary Ralph Recto and National Economic and Development Authority Secretary Arsenio Balisacan for a total prohibition on POGOs.
These groups highlighted that POGO investments contributed minimally to the Philippine economy, accounting for just 0.2 percent of gross domestic product (GDP) last year, based on NEDA data.
They also pointed to significant social costs, citing recent hearings linking POGOs to crimes such as human trafficking, kidnapping, and money laundering. Philippine National Police data reportedly showed that 55 percent of kidnapping cases in 2022 were POGO-related.
Balisacan emphasized the government’s need to prioritize creating high-quality jobs over gambling-related employment, while Recto confirmed that a recommendation for a complete POGO ban had been forwarded to President Marcos.
Earlier this week, advocacy groups 1Sambayan, EveryWoman, Women2022, and Intercessors of the Philippines issued a three-page open letter urging President Ferdinand Marcos Jr. to revoke licenses for POGOs catering to the mainland Chinese market.
Meanwhile, Alejandro Tengco, chairman and chief executive of the Philippine Amusement and Gaming Corp (PAGCOR), expressed opposition to legislative bills seeking to ban all forms of online gambling in the country during a Tuesday hearing at the Senate Committee on Ways and Means.
Tengco emphasized the importance of stringent regulation in the online gaming sector, arguing that effective regulation not only enhances tax collection for the government but also curbs the rise of illicit gambling activities.
Instead of banning, Tengco is pushing for illegal operators to become compliant, register under PAGCOR, and pay their due taxes. This, he estimates, could add an additional PHP200 billion ($3.43 billion) to PHP250 billion ($4.29 billion) in government revenues.
