PAGCOR further slashes fee rate charged to Philippine online gaming operators to 30%
Philippine gaming regulator PAGCOR has reduced the rates it charges operators of online games, also known as E-Games, from 35% to 30%, while those operating online gaming will have their fees reduced to 25%.
The latest reduction in rates took effect from 1 January 2025, the regulator revealed Monday, and follows a series of previous reductions from an initial rate of more than 50% two years ago – part of its efforts to combat illegal gaming operations.
E-Games includes PIGO – live table games, live-streamed slot machines and RNG games from licensed casinos in the Philippines – as well as retail outlet e-games throughout the Philippines. This form of gaming is only available to players in the Philippines and as such differs from the now banned offshore POGO sector.
“By lowering our share rates, PAGCOR is creating a more favorable regulatory environment by encouraging unregistered online gaming operators to transition to the legal market,” said PAGCOR Chairman and Chief Executive Officer Alejandro Tengco, who noted that the lower 25% fee rate for integrated resorts was to compensate for overhead expenses incurred by brick-and-mortar operators.
The fee rates being collected by PAGCOR is based on a fixed percentage of the licensees’ gross gaming revenues, Tengco added.
The regulator previously reduced its fee rates for E-Games from 40% to 35% in April 2024 while touting the sector’s massive growth. E-Games – comprising ecasino, ebingo, sports betting and specialty games – grew by 464% year-on-year in 3Q24 alone to Php35.7 billion (US$610 million).
“The gradual reduction of share rates has significantly contributed to the growth of the E-Games sector, which has become a key driver of the local gaming industry,” Tengco said.
PAGCOR explained that it has issued 1,188 licenses for various onsite and online gaming offerings as of early 2025, a 13.6% increase from the 1,046 licenses issued in 2023. The number of accredited gaming service providers also increased five-fold from 49 in 2023 to 174 in 2024.
“We expect this trend to continue, and we are optimistic that the best is yet to come for the country’s E-Games sector,” Tengco said.
