PAGCOR Reduces E-Games Fee Rates to Boost Industry Growth

The Philippine Amusement and Gaming Corporation (PAGCOR) has further reduced fee rates for electronic games (e-games) in an effort to ease regulatory requirements and combat illegal gambling.

Starting January 1, 2025, PAGCOR lowered its share rates for e-games from 35% to 30%. For e-games operated by integrated resorts, rates were cut to 25% to offset higher operational expenses incurred by physical establishments.

Encouraging Legal Compliance

PAGCOR Chairman and CEO Alejandro Tengco emphasized that the adjustments aim to encourage unregistered gaming operators to join the legal market. “By lowering our share rates, we are creating a more favorable regulatory environment,” Tengco said.

Supporting Industry Growth

The fee rate reductions have enabled the e-games sector to exceed its P100 billion gross gaming revenue (GGR) target for 2024 by September. PAGCOR’s fees, previously exceeding 50% of GGR, were gradually reduced starting in 2023, with an earlier cut in April 2024 bringing rates down to 35%.

“The gradual reduction of share rates has significantly contributed to the growth of the e-games sector, now a key driver of the local gaming industry,” Tengco said.

Increased Licensing and Accreditation

Since the reforms, the number of licensed e-games operators has grown substantially. PAGCOR has issued 1,188 licenses as of 2024, up from 1,046 in 2023—a 13.57% increase. The number of accredited gaming service providers also rose dramatically, from 49 in 2023 to 174 in 2024.

PAGCOR anticipates continued growth, with Tengco expressing optimism about the sector’s future: “The best is yet to come for the country’s e-games sector.”