PAGCOR Experiences Revenue Drop Following E-Wallet Payment Restrictions
Impact of E-Wallet Restrictions on PAGCOR’s Earnings
The Philippine Amusement and Gaming Corporation (PAGCOR) has experienced a notable reduction in online gambling revenues in August. This decline coincides with the introduction of new regulations that prohibited the use of e-wallet payments within the sector, marking the first month affected by these changes.
Effect of Restrictions on Player Engagement and Marketing
Jessa Fernandez, PAGCOR’s Assistant Vice President for offshore gaming licenses, highlighted that the ban on e-wallet transactions has severely limited income prospects. This restriction not only lowered revenue but also hindered marketing efforts and reduced the reach of licensed operators across the country.
Fernandez further explained that the implementation of a minimum deposit requirement has caused many players to opt out of playing with legitimate online gaming providers. This sentiment was shared during a session of the House Committee on Games and Amusements in Congress.
Challenges Ahead for the Online Gambling Industry
Beyond e-wallet restrictions, the online gambling sector faces ongoing challenges. There are increasing calls for a complete suspension of operations, with some groups pushing for the dismantling of the regulated market entirely. Despite this pressure, President Bongbong Marcos has yet to make a definitive decision, maintaining a vague position on the issue.
Public opinion generally supports the regulation rather than the outright ban of online gambling, favoring a controlled market environment. Nonetheless, political and religious leaders, along with external influences such as China, are urging the government to reconsider its current policies. Should the regulated market be terminated, the Philippines could suffer substantial financial losses and face increased difficulties in managing a sprawling illegal gambling industry.
