March 5, 2025

PHILIPPINES – ARE PIGOS NEXT?

Gaming Philippines POGO

PHILIPPINES REVIEWS INLAND GAMING OPERATORS AS DEBATE OVER PIGO BAN GAINS MOMENTUM

Philippines Senate President Francis Escudero has called for a review of Philippine Inland Gaming Operators (PIGOs), warning they could be just as problematic as their offshore counterparts, which were banned last year. His concerns echo the reasoning behind the government’s decision to shut down Philippine Offshore Gaming Operators (POGOs) after they were linked to money laundering, human trafficking and fraud. 

Unlike POGOs, which catered to foreign customers, PIGOs serve the domestic market.

Escudero questioned whether the country should tolerate an industry that, in his view, may be causing more harm than good. He acknowledged the revenue the government collects from legal gambling but argued that if policymakers were willing to turn away from the billions generated by POGOs, they should be open to reconsidering PIGOs as well. 

He has previously called for a ban on all forms of gambling, including casinos, on the grounds that they promote addiction and criminal activity.

Finance officials and industry analysts aren’t convinced a full ban is realistic. Pagcor, the country’s gaming regulator, is one of the government’s top revenue sources, bringing in billions of pesos annually. 

Shutting down online gaming entirely would leave a gaping hole in the national budget, something the administration may not be willing to risk. Others warn that outlawing PIGOs would push gamblers toward unregulated platforms, making oversight even more difficult.

Senator Risa Hontiveros has raised concerns that remnants of the POGO industry have infiltrated PIGO operations, suggesting some of the same risks may be present. She has called for an investigation into whether online gambling has led to an increase in domestic crime or financial fraud. 

So far, Pagcor has maintained that it has the regulatory framework needed to ensure the sector operates legally and contributes to social programs.

The Philippines’ situation draws comparisons to other gambling hubs in Asia. Macau enforces strict junket regulations to control the flow of high rollers. Singapore has implemented high entry fees for local players as a deterrent. 

Both models rely on heavy government oversight rather than outright bans. If the Philippines follows suit, regulation could be the path forward rather than elimination.

A growing concern is whether PIGOs contribute to problem gambling. Reports indicate a rise in gambling addiction cases, though direct links to PIGOs remain unclear. 

Advocates for stronger regulation argue that more safeguards should be in place, such as stricter identity verification and spending limits. Others have suggested using AI and blockchain technology to monitor transactions and detect suspicious activity in real time.

The debate is unlikely to be settled anytime soon. While Escudero and Hontiveros push for stronger action, financial analysts and business leaders warn against drastic moves that could destabilize the economy. 

The administration faces a difficult balance between protecting citizens from gambling-related harm and preserving a significant revenue stream.

How they do this will determine whether PIGOs remain part of the country’s gaming landscape or follow POGOs into the dustbin of history.