GAMEbling: Analyzing the Ties Between the Philippine Government and Online Gambling
- deskvalor
- Mar 25
- 6 min read
by Nica Bangalan, Jeraldine Gusi, Jessica Jaime, Rhoanna Malabaguio, Patrichsia Mamaril
In the digital age where everything has been adapted to fit online accessibility and convenience, online gambling in the Philippines has driven economic growth and expansion, creating jobs for the people and generating revenue. Nevertheless, this accessibility attracts both experienced gamblers and novices with ease, providing opportunities for illegal activities such as money laundering, scams, failures in regulatory functions, and corruption.
Online gambling in the Philippines has driven economic growth and expansion by creating jobs for the people and generating revenue. Yet, despite its rapid rise, this high-risk game brings economic challenges, mainly enmeshed with Philippine government officials and their associations with the Philippine Offshore Gaming Operators (POGOs) businesses, which created an opportunity for illegal activities such as money laundering and scams, failures in regulatory functions, and corruption. Accessibility attracts both experienced gamblers and novices that enables individuals to place bets from home with minimal effort. However, digital platforms create challenges in regulating gambling behaviors, raising concerns about addiction, financial instability, and cybersecurity risks. While easy access allows gambling at any time and place, such convenience can blur the boundaries of responsible gaming. Despite the excitement of potential winnings, individuals must remain aware of possible risks.
Online gambling in the Philippines formally began with PhilWeb Corporation’s establishment on November 5, 2002. Shortly after, PhilWeb partnered with PAGCOR to introduce online sports betting. Significant growth followed, evident in PhilWeb’s year-end net income of ₱116 million in 2007. In February 2008, the Philippine Amusement and Gaming Corporation (PAGCOR) rebranded all e-Casino Filipino Internet Casino Stations (ICS) as "PAGCOR e-Games Cafés," further institutionalizing online gambling (Iskomunidad, 2025). Rebranding marked a key milestone in the industry’s growth, reinforcing PAGCOR’s authority in overseeing and advancing online gambling in the Philippines.
Relatively, online gambling in the Philippines rose in popularity as smartphones and affordable internet became much more accessible, which turned screens into gateways for betting apps like color games, online cockfights, and casino games (Statista, n.d.). Moreover, the government’s decision to give licenses to companies like POGOs contributes to the rapid spread of online gambling in the country, making way for online gaming and creating jobs in technology, customer service, and digital marketing (Iskomunidad, 2025). Similarly, the use of celebrity endorsements to advertise online gambling has also become a common tactic used by companies trying to draw in customers (Alejandro, 2024). The bright, flashy advertisements for e-gambling platforms can be seen on social media, television, and roadside billboards, often with a call-to-action statement convincing betters under the low-income earners about making quick money in e-gambling. Despite the fact that the industry contributed billions to the economy, these growing problems, such as addiction and financial debt, lurk behind the thrill of the game (Inosante, 2025).
Gambling companies, especially Philippine Offshore Gaming Operators (POGOs), cater services such as e-casino games sports betting, and many more (Malonzo, 2024). The ties between POGOs and certain government officials have been highlighted in a statement by Senator Risa Hontiveros on October 11, 2024, implying that some operators may have received assistance from high-ranking politicians to operate illegally (De Guzman, 2024). The full support of those officials helped illegal POGOs operate underground by disguising restaurants and resorts (Felipe & Tupas, 2024). Furthermore, the lack of proper regulation allowed illegal activities, particularly money laundering and scams to become widespread (Buan, 2024). In some cases, government officials are accused of providing POGOs with licenses, shielding them from law enforcement, and enabling these businesses to operate without being looked at.
Alice Guo, the former mayor of Bamban, Tarlac, is a notable example of how government positions can be exploited for personal financial gain, particularly through POGOs and other gambling operations. Using her political influence, she facilitated money laundering activities, leading the Department of Justice (DOJ) to approve the filing of 62 counts of money laundering against her (Pulta, 2024). Investigations revealed that 36 bank accounts were used to finance illicit operations under her administration. After the situation with former Bamban mayor Alice Guo flared out, the government prohibited and ordered the shutdown of all offshore gambling, especially President Ferdinand “Bongbong” Marcos Jr. (Reuters, 2024). Several government officials, both past and present, have been implicated in unlawful online gambling money laundering schemes, including a former cabinet minister whose name is still protected after attempting to provide illegal licenses for illegal POGO sites (Cayabyab, 2024). Certain senate government officials, namely Senator Sherwin “Win” Gatchalian, are delving into better solutions to illegal actions related to online gambling, such as filing a resolution seeking to investigate the possible involvement of banks in the construction and establishment of Philippine Offshore Gaming Operators (POGOs) in the country (Senate of the Philippines, 2024).
The online gambling industry in the Philippines has experienced significant growth since its legalization in 2016, contributing over $8 billion annually to the economy. This sector has created hundreds and thousands of jobs, particularly in the outsourcing industry and for Filipinos who are in need, encompassing roles in customer support, Information Technology (IT), and marketing (Money News, 2024). Due to the easy access to online gambling and its addictive style, many Filipinos use it to gain extra income, of course, winning is not guaranteed which results in a bigger debt than income earned. However, the rapid expansion of online gambling has raised concerns over its association with criminal activities, including human trafficking, financial scams, and money laundering. Illegal online gambling increase in the Philippines only shows how government officials use it as a front to launder further money which benefits their finances.
As various gambling industries continue to withstand high-impact regulations, as it may affect their commercial interests, it increases the harm present in gambling while the industry remains expanding. Engaging in online gambling poses no harm for 59% of Filipinos, while the other 63% perceive it as morally wrong according to a Social Weather Stations (SWS) Survey conducted from September 25 to October 11, 1999 (Hebron & Mapa, 2023). As Filipino online gamblers continue to be attracted by the satisfaction and excitement of every game, Philippine online casinos also present particular advantages and disadvantages. The Philippine involvement with various foreign companies and suppliers made the country a destination for establishing more online casinos and investing in the Philippine workforce. As foreign companies continue to immerse themselves in Philippine gambling operations, it creates job opportunities for Filipinos as the country is open to foreign investors.
Gambling industries continue to resist stringent regulations due to potential impacts on commercial interests, and associated risks persist while the sector continues to expand. In order to combat this evolving gambling harm in the Philippines, PAGCOR offers assistance to users who experience unfair play and regulations as online casinos are required to be licensed (Respicio, 2024). In correlation, President Ferdinand “Bongbong” Marcos Jr. stated in his State of the Nation Address (SONA) on July 24, 2024, that a ban on POGOs would be implemented, and this was made effective on November 5, 2024, as Marcos has signed the Executive Order No. 74, where PAGCOR’s continual shutting down of POGOs in the country (Strangio, 2024). Considering the Filipinos who were employees who had found job opportunities in online casinos, the government has implemented enforcement to assist in their transition while searching for other job opportunities. Over 12,000 international and local job vacancies were offered by the Department of Labor and Employment (DOLE) as part of their job fair, Project DAPAT (DOLE Action Plan and Transition Project) (Baron, 2024). Enforcement and implications done by the Philippine government emphasize the liability the current administration holds by addressing the diverse effects of online gambling and the welfare of Filipino POGO workers.
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