Philippine Senate President Francis Escudero recently called for a comprehensive cost-benefit analysis of the local gaming operator licenses (PIGOs) issued by the Philippine Amusement and Gaming Corporation (PAGCOR), to assess whether these online gambling platforms aimed at Filipinos are worth continuing.
Escudero pointed out that although the government has decided to completely ban foreign-led offshore gaming operators (POGOs) by the end of 2024, the scrutiny of local PIGOs has been less frequent. However, the gambling games offered by these platforms are similar to those of POGOs, only the players have changed to Filipinos.
He warned at a press conference: "The reason we banned POGOs is because they led to foreigners becoming addicted to gambling, losing their fortunes, and breaking up families. But now the victims of PIGOs are Filipinos, not foreigners. It is more worrying that there might be former POGO operators secretly turning to PIGOs."
Escudero emphasized that since the reasons for banning POGOs also apply to PIGOs, the government should give equal attention and even take stricter regulatory measures. He urged PAGCOR to conduct a transparent review to determine the economic contribution of PIGOs and to disclose their real impact to the public.
"Can we obtain detailed data from PAGCOR or the Bureau of Internal Revenue (BIR)? How much revenue do PIGOs generate? Is it worth the potential risks to Filipinos?" he questioned.
If the investigation finds that PIGOs pose serious harm to impoverished and low-income groups, Escudero suggests that the government consider implementing a ban similar to that of POGOs. He stressed: "PAGCOR indeed gains substantial revenue from PIGOs, but if the government can give up the huge tax revenue from POGOs, why can't it give up PIGOs for the welfare of Filipinos?"
He also reviewed the precedent set in 2022 when President Marcos ordered a complete ban on electronic cockfighting (e-sabong), showing that the government has recognized that some forms of gambling may pose harm to the general public. Moreover, in the 2023 State of the Nation Address (SONA), Marcos explicitly announced that POGOs will be completely banned by December 2024. Whether PIGOs will become the next gambling industry to be regulated remains to be seen.
