Philippine GGR to double in five years
PAGCOR’s CEO said gross gaming revenue is projected to reach over PHP450bn (US$8.31m) by 2028.
The Philippines.- Alejandro Tengco, chairman and chief executive of the Philippine Amusement and Gaming Corp (PAGCOR), has projected that GGR in the country could rise from its 2022 baseline of approximately PHP214bn (US$3.77bn) to PHP450bn (US$8.31m) by 2028. Speaking to Reuters, he forecast increased tourism, particularly from affluent Chinese gamblers.
Tengco noted that six new casino establishments collectively valued at around US$3bn are in the works, which would help address competitive pressures from neighbouring countries such as Japan and potentially Thailand.
Tengco said he expected the country’s gaming sector to grow by at least 10 per cent every year. GGR reached a record PHP256bn in 2019 and was predicted to grow further until the Covid-19 pandemic halted things. In 2022, GGR reached PHP214bn.
Gross gaming revenue in the second quarter of this year was PHP56.61bn (US$1bn). That’s an increase of 23.4 per cent year-on-year but down 4.5 per cent in quarter-on-quarter terms, from PHP59.26bn in Q1.
Private casino resorts, including those located in Manila’s Entertainment City, produced 76.8 per cent of all GGR (PHP43.47bn). This was up by 17.5 per cent year-on-year and down 4.3 per cent when compared to the previous quarter.
PAGCOR plans privatisation of its 45 casinos by 2025
PAGCOR has disclosed plans to initiate the privatisation of 45 casinos. Speaking during budget deliberations at the House of Representatives, Alejandro Tengco said the process would take place by the third quarter of 2025.
Tengco said PAGCOR aimed to increase the value of the assets ahead of privatisation. The announcement was a response to questions raised in the session after the lawmaker Edwin Olivarez raised concerns regarding PAGCOR’s dual role as both regulator and operator. He pointed out that foreign operators earn more than PAGCOR-operated casinos.
