the Philippine Amusement and Gaming Corporation (PAGCOR) has unveiled a series of regulatory changes that could significantly alter the landscape of the country’s iGaming industry. As of April, all licensed gaming operators in the Philippines will be required to adhere to new financial stipulations, including generating a minimum of PHP30 billion (approximately US$506.1 million) in gross gaming revenue (GGR) monthly, along with paying a mandatory minimum fee of PHP9 billion. This regulatory move, announced on December 15, 2025, is designed to address existing discrepancies in the fee structure and promote equitable financial practices within the sector.
Jessa Mariz Fernandez, who heads e-games licensing at PAGCOR, emphasized that these new requirements aim to enhance fairness, accountability, and fiscal responsibility within the industry. The implications of these changes have sparked discussions about potential consolidation within the market, as smaller operators may struggle to meet the stringent financial thresholds and, therefore, could be absorbed by larger entities.
Anthony Manguiat, CEO of HHR Philippines, a leading e-games software and services company, indicated that the industry might witness a substantial decrease in the number of active licensed operators. He projected a reduction from the current 33 operators to potentially 15. While Manguiat acknowledged that the tighter regulations might dampen demand in the short term, he also suggested that they could bring about long-term benefits by formalizing operators that currently operate without a license.
During a keynote speech at the ICE conference in Barcelona, PAGCOR Chairman Alejandro Tengco highlighted the broader objectives behind these regulatory measures. He stated that the new fee structure is not only about enforcing compliance but also about fostering a resilient and transparent system that commands public trust. Tengco emphasized that these changes will contribute to nation-building efforts by channeling more resources into government coffers and encouraging transparency.
In a related development, PAGCOR is advocating for the reinstatement of e-wallet usage in online gambling transactions. This push comes in response to a directive from the Philippines Central Bank (BSP) last August, which required e-wallet services like GCash and Maya to eliminate in-app links to gambling sites. This restriction had a notable impact on the e-games sector, particularly affecting its performance in the third quarter of 2025. Despite these challenges, the iGaming sector still reported a 17.4% growth during that period, accounting for 44.4% of PAGCOR’s GGR.
Tengco, speaking at the ICE event, expressed optimism that the introduction of stronger player protection measures might persuade the BSP to reconsider its stance and allow the re-linking of e-wallets with iGaming operators. He noted that the new financial requirements could potentially bolster the industry’s robustness and appeal.
The introduction of these regulatory changes presents both opportunities and challenges for the Philippine iGaming sector. On one hand, the heightened financial requirements could catalyze mergers and acquisitions, leading to a more concentrated market composed of fewer, but financially stronger, operators. On the other hand, the shift may impose additional compliance burdens on operators, potentially increasing operational costs.
The potential reduction in the number of licensed operators could also have significant implications for competition within the market. A smaller pool of operators might lead to less competitive pricing and fewer choices for consumers. However, the anticipated consolidation could also result in a more regulated and orderly market, with enhanced consumer protections and higher standards of operation.
As PAGCOR moves forward with these regulatory changes, industry stakeholders are closely monitoring the situation to assess the impact on market dynamics and compliance requirements. The gaming regulator’s efforts to reinstate e-wallet links, if successful, could further influence market conditions by improving the ease of transactions for players and operators alike.
Looking ahead, the next steps involve the implementation of these regulatory requirements starting in April. PAGCOR’s continued dialogue with financial regulators and industry participants will be crucial in navigating the complexities of these changes. The market’s response to these developments will offer further insights into the evolving landscape of the Philippines’ iGaming industry.