Philippines Casinos to Remain Under Government Control Until at Least 2026

Government-owned casinos in the Philippines will stay under state control until at least 2026. 

The Philippines features casinos operated by both private entities and the government. The Philippine Amusement and Gaming Corporation (PAGCOR) oversees commercial gaming resorts in Manila and designated freeport zones. The agency also operates casinos under the brand Casino Filipino. 

For years, legislators have urged Filipino presidents to sell off the country's interest in managing gaming operations while also overseeing its competitors. Numerous individuals have stated that PAGCOR's dual role creates conflicts of interest. 

Former Philippines President Rodrigo Duterte reversed his promise to sell PAGCOR’s casinos, citing that their operations offered essential tax advantages, particularly following the COVID-19 pandemic. Duterte's successor, President Ferdinand "Bongbong" Marcos, has now continued the central government's effort to sell off the casino assets. 

 

Liquidation Postponed 

Earlier this year, PAGCOR Chairman Alejandro Tengco announced that the agency plans to divest its nine casinos and 33 satellite branches by the end of the first quarter in 2026. This week, Tengco challenged that assertion and disclosed that the selloff won’t actually begin until around 2026. 

Meanwhile, PAGCOR is putting funds into updating its Casino Filipino properties, numerous ones of which are obsolete and require renovations. Tengco sees this investment as a way to enhance the venues' appeal to potential buyers and generate more lucrative sales.

"As we prepare for the planned privatization of PAGCOR casinos, we intend to increase their value by modernizing our gaming facilities and equipment to make them more attractive to potential investors,” the PAGCOR chief said on Tuesday during his keynote address at Inside Asian Gaming's Academy Summit at the Hilton Manila.

Tengco explained that PAGCOR has requested the installation of 3,341 new slot machines, typically seen in the multibillion-dollar integrated resort casinos located in Manila’s Entertainment City, at Casino Filipino’s flagship properties. The inaugural shipment of 1,968 terminals is anticipated to arrive this week. 

Tengco further stated that PAGCOR will require purchasers of the Casino Filipino properties to retain at least 50% of the workforce from the acquired venues for a designated timeframe. Individuals who are terminated will need to obtain severance packages according to their duration of employment. 

 

PAGCOR Gaming Earnings 

PAGCOR's gaming activities are insignificant when compared to the integrated resorts in Manila. 

During the second quarter, Casino Filipino establishments produced gross gaming revenue of about PHP8.29 billion (US$147.5 million). In the same April to June timeframe, Manila’s City of Dreams, Solaire, Okada, and Newport World Resorts generated GGR of PHP40.3 billion (US$717.1 million). 

Commercial casinos in Fiesta, Clark, and Greenfield generated winnings of $6.4 million, $119.5 million, and $37.5 million, respectively. The trio of freeport areas has experienced a gaming increase in recent times, attributed to China’s efforts to combat cash transfers via Macau and the casino district’s choice to eliminate junket operators from the market. 

The arrival of wealthy Chinese gamblers has Filipino gaming tycoons optimistic about the sector. This week, Travellers International Hotel Group and Alliance Global, the parent firms of Newport World Resorts, announced plans to establish casino resorts in Boracay and Cebu.