PAGCOR expands oversight of Philippine online gaming sector

The Philippine Amusement and Gaming Corporation (PAGCOR) is expanding its regulatory oversight of the online gaming sector to address declining revenues, illegal operators, and emerging risks such as artificial intelligence-driven fraud.

PAGCOR President and CEO Alejandro H. Tengco stated that the agency’s regulatory framework must evolve alongside market changes to ensure industry integrity and public protection. A key part of this institutional reform involves a proposal to separate PAGCOR’s regulatory functions from its operational roles to establish clearer industry standards and a more stable environment for authorized operators.

Recent data shows a significant decline in Gross Gaming Revenue (GGR). In Q2 2026, GGR fell by 20.33% year-on-year to PHP 88.13 billion, following a 15.87% decrease in Q1. To combat these trends and the rise of unregulated providers, PAGCOR is implementing stricter rules for B2B players and revising the accreditation process for electronic payment gateways. Additionally, the agency is studying the use of AI to curb sophisticated criminal schemes and fraud within the ecosystem.