Philippines officials are weighing measures ranging from tighter regulations to an outright ban on online casinos, in what some officials are calling a gambling “crisis.” The push comes amid longstanding opposition from the Catholic Church, which has consistently condemned all sorts of gambling.
Sen. Erwin Tulfo, chair of the Senate Committee on Games and Amusement, has scheduled a hearing on Thursday, August 14, to examine bills aimed at addressing the harmful effects of internet-based betting.
A vocal supporter of a total ban, Tulfo said the committee will first hear from agencies such as the Philippine Amusement and Gaming Corporation (PAGCOR) and the Department of Finance before deciding whether to push for full prohibition.
He said online gambling has expanded with inadequate regulation, enabling unchecked wagering and even underage participation. Calling the situation a crisis, Tulfo warned that “even children are gambling now” and questioned whether government revenue from licensed operators outweighs the industry’s potential damage to society.
Central Bank Proposes Changes
Alongside the Senate’s initiative, the Bangko Sentral ng Pilipinas, or BSP, is finalising new rules requiring banks and digital payment providers to adopt stronger regulations to reduce risks tied to online casino and betting.
The BSP said the measures, developed after public consultations, aim to protect consumers amid the rapid growth of digital betting platforms. Some of the proposed changes include biometric verification, daily transaction caps, time-based limits to curb impulsive play, and voluntary self-exclusion..
According to BSP representatives, the proposed measures seek to promote responsible gaming, prevent fraud, and protect susceptible demographics like youth and low-income households. However, the changes are not final. Still, they will likely be confirmed soon.
While financial industry leaders have welcomed the move, some economists have cautioned against overreach, warning that overly strict rules could push bettors toward unregulated platforms.
Financial industry leaders and advocacy groups have primarily welcomed the BSP’s proactive stance. applauded the proposed measures and labelled them “a step toward responsible financial innovation.”
“As digital payments become more accessible, so too does the risk of excessive gambling, fraud, and financial distress, especially among the youth and vulnerable sectors,” said Angelito M. Villanueva, Executive Vice-President and Chief Innovation and Inclusion Officer at Rizal Commercial Banking Corp.
President Calls for Balanced Approach
President Ferdinand Marcos Jr. has signalled he will not back a blanket ban without a detailed review of the sector’s social and economic impact.
Marcos stressed that the core problem lies in gambling addiction, not the platforms themselves. He has convened a multi-sector “conclave” to debate policy options and weigh solutions.
Citing the country’s experience with e-sabong, banned in 2022 but still operating underground, the President warned that simply outlawing online betting could push gamblers toward unregulated markets.
“A ban will not take care of the problem. We have to be a little bit more measured in our response,” he said, explaining that tougher regulation and addiction rehabilitation should be the first steps. He did not rule out a ban, but noted that any decision must weigh public welfare alongside the sector’s economic contributions.
Industry Alliance Seeks Self-Regulation
With all that’s going on in the Philippines’ gambling industry, a group of 19 licensed online casinos has joined efforts and launched the PlaySafe Alliance of the Philippines. The objective of the newly founded coalition would be to promote responsible gambling and compliance.
In its operations, the union of operators will seek to collaborate with PAGGOR to improve supervision, implement stricter limitations on gambling advertisements, and bolster consumer protection.
Some of the already-mentioned tools include enhanced know-your-customer checks, age verification systems, and safe-exclusion programmes to try and tackle underage gambling and problem gambling.
Meanwhile, other plans include helping the country in monitoring and tracking unregulated operators and the launch of user education campaigns to educate them on safer gambling habits and the potential risks of playing on illegal iGaming platforms.
Alliance members argue that raising industry standards now can create a safer environment and reduce the need for government-imposed bans.
Finance Department Explores Taxes and Safeguards
Finance Secretary Ralph Recto said his department is studying a general tax amnesty program and possible new levies on online betting as part of the government’s response to the issue.
While no immediate tax hikes are planned, an online gambling tax is being considered to capture more revenue from the growing iGaming industry. Recto has also floated increasing PAGCOR’s share of revenues from 30% to 35% or higher: a change that could be implemented through regulation without new legislation.
He backs the concept of blocking government officials from engaging in online betting and preventing public funds from being invested in gambling companies.
In addition to that, Marcos’ cabinet has shared plans to bring back a general tax amnesty to incentivise delinquent taxpayers to settle obligations. Back in 2019, a version of this was vetoed due to a lack of protections. Now, Recto is hopeful that a revised measure could be implemented.
Overall, the recent probe by the Senate, along with the BSP's plans for safety, industry self-regulation, and possible budget changes, could mean that iGaming is getting more attention from politicians and regulators. In the meantime, officials, regulators, and industry representatives will discuss how to make gambling safer for consumers.
