The Philippine gaming regulator PAGCOR has expressed concern over the growing presence of illegal gambling websites targeting local consumers.
PAGCOR Chairman and CEO Alejandro Tengco raised the issue during his address to the House Committee on Appropriations.
According to Tengco, the regulator is facing a serious challenge due to the growing activity of illegal online platforms that specifically target players in the Philippines.
“Around 50% of online gaming sites accessed in the Philippines are illegal, and keeping players within the regulated sector has been an ongoing challenge for PAGCOR and our law enforcement partners,” Tengco said.
To address the issue, PAGCOR is developing a dedicated app that will allow players to check whether the operators they use are part of the regulated market.
The regulator has yet to disclose details about the app’s functionality. The initiative builds on the PAGCOR Guarantee project, an online verification service launched last year that allows consumers to check whether an operator holds the required licence.
The Philippines currently remains the only Asian country with an open and regulated online gambling market. PAGCOR oversees online casinos, bingo, bookmakers and esports betting platforms.
Following the nationwide ban on POGO (Philippine Offshore Gaming Operators) at the end of 2024, illegal gambling activity in the country has increased significantly. The ban was introduced on the orders of President Ferdinand Marcos Jr.
As part of its revised approach, PAGCOR has placed greater emphasis on the PIGO (Philippine Inland Gaming Operators) model. Under the new requirements, operators seeking an online gambling licence must undergo accreditation through a GSA (Gaming System Administrator). Licensed land-based casinos and integrated resort complexes are given preference over standalone online casinos operating under independent licences.
Tengco added: “For those who patronise online gaming, we encourage them to use the PAGCOR App. The easier it is for them to identify where they can legally play, the better we can protect them from illegal operators and the risks that come with unregulated gaming.”
The development of PAGCOR’s new app comes amid a challenging period for the Philippine gaming market, which continues to face economic pressure from the fallout of the conflict in the Middle East.
Earlier this month, PAGCOR reported that gross gaming revenue (GGR) fell by more than 20% in the second quarter of 2026 to P88.1bn ($1.43bn).
The decline was primarily driven by weaker performance in the online sector. Online gambling revenue fell from P63.4bn ($1.03bn) in Q2 2025 to P39.85bn ($647m) in the same period of 2026, representing a 37.15% decrease.
According to Tengco, geopolitical tensions in the Middle East have increased the cost of living, which in turn has negatively affected consumer spending.
As part of its ongoing fight against illegal gambling, PAGCOR also plans to strengthen cooperation with government agencies, including the Department of Information and Communications Technology (DICT) and the Cybercrime Investigation and Coordination Centre (CICC). The main objective of this cooperation is to crack down on illegal online operators and hold payment services that facilitate their activities accountable.
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