The Philippine Amusement and Gaming Corp (Pagcor), the country’s gaming regulator, expects gross gaming revenue (GGR) from the electronic gaming segment to reach PHP160 billion (US$2.75 bilion) in 2025.

The estimate was made by Pagcor’s E-Gaming Licensing Department in a written reply to GGRAsia, which said a number of accredited service providers (SPs) “have yet to commence gaming operations”.

“Hence, the GGR generated from the operation of electronic games is projected to have a total amount of around PHP160 billion in 2025,” added the agency’s department.

According to Pagcor, the electronic gaming segment has been the industry’s best performer in terms of GGR growth in 2024.

The e-Games segment recorded GGR of nearly PHP89.08 billion in the first nine months of 2024, up 502.8 percent year-on-year, according to Pagcor data. The segment generated GGR of PHP35.71 billion in the third quarter alone,  a 464.38-percent increase from a year earlier.

Pagcor’s president and chairman, Alejandro Tengco, said in recent comments that the development of “modern technology and mobile gadgets” ensures that the “future of gaming will be online” in terms of delivery format.

The gaming regulator announced this week that the remittance rate for online and on-site betting platforms had been reduced from January 1, a decision that observers expect will help boost GGR in the segment.

A 30-percent rate is now applicable to operators of e-Games, while the fees for e-Games operated by integrated resorts in the Philippines were reduced to 25 percent, “to compensate for overhead expenses incurred by brick-and-mortar operators,” according to Pagcor.

The licence fee – as a share of revenue – was cut to 35 percent in April last year. The rate used to be above 50 percent in 2022.

“The record shows that the reduction in the Pagcor share rates … brought an increase in the monthly average GGR,” stated Pagcor’s E-Gaming Licensing Department in its comments to GGRAsia.

The agency said its decision to reduce the rates “attracted more participants or stakeholders in the gaming operations” regulated by Pagcor.

“Numerous SPs applied for accreditation and have their electronic gaming systems and games registered with Pagcor. Likewise, numerous operators have secured gaming licences to establish and operate gaming venues offering suites of electronic/virtual games,” remarked the regulator.