Date: 12.12.2024

by Adam Dworak

Decline of POGOs in the Philippines Intensifies Ahead of Year-End Ban

The Philippine Offshore Gaming Operators (POGOs) are approaching the end of their presence in the country, with the industry facing a mandated exit by December 31, 2024.

Rapid Withdrawal and Government Mandates

The Philippine Amusement and Gaming Corporation (PAGCOR) Chairperson, Alejandro Tengco, emphasized the accelerated timeline for POGO departures, forecasting their complete withdrawal by December 15.

Supporting this prediction, the Philippine Bureau of Immigration (BI) has reported a significant number of foreign workers connected to POGOs preparing to leave the country.

As of November 7, 21,757 foreign nationals linked to the industry had voluntarily downgraded their work visas, with over 10,000 already having exited.

BI has issued reminders for the remaining workers to comply with the deadline or face deportation and blacklisting.

“BI wants to ensure a smooth and orderly process for affected foreign workers, hence the reminder to respect the deadline. Affected individuals are advised to promptly make all necessary travel arrangements,” stated the bureau.

Executive Order and Broader Implications

President Ferdinand Marcos officially signed the Executive Order banning POGOs, an announcement met with strong approval during his July State of the Union address.

The order signals a critical shift in the Philippines’ approach to regulating one of Asia’s prominent gambling ecosystems.

Efforts have intensified to eradicate offshore betting operations and address the consequences for Filipino workers affected by the ban.

Government agencies have been tasked with ensuring job placements and retraining programs for displaced workers.

Industry Adjustments and Future Prospects

According to Keith McDonnell, Director at KMI Group, operators have already begun adapting to the impending ban.

“A phased approach is ongoing, with current POGO licence holders asked to report frequently on what they’re doing to make sure they are closed down by December,” McDonnell noted. “Some operators have already split their teams up and are locating specific functions elsewhere to mitigate against business risk,” he said in a recent interview with CasinoBeats.

Despite the challenges, McDonnell remains optimistic about the Philippines’ long-term relevance in the igaming sector. He highlighted the country’s deep pool of skilled labor and the foundational expertise built over decades, which may allow some operators to retain a footprint through new accreditation models or partnerships.

“The Philippines has been an outstanding location for many businesses in our industry for decades. In introducing new measures to address the illicit activities of some Internet Gaming License holders, it has hoped opportunities will remain for respectable businesses to continue and thrive whilst employing thousands of locally knowledgeable and experienced Filipinos,” McDonnell stated.