After PAGCOR, Pogo targeted to help increase public revenue

In another move to raise funds for public coffers, the Philippine government is to cash in on electronic gaming business, after announcing it is privatizing part of PAGCOR next year

Online gaming operations in the Philippines will have to renew their licenses this coming October with the state-run Philippine Amusement and Gaming Corporation (PAGCOR), the Inquirer reported yesterday.
A total of 37 original licensees out of the 45 firms which were approved by PAGCOR last year to conduct electronic games via the Philippine Offshore Gaming Operators (Pogo) scheme, will be renewing their permits next month at a cost of P200,000 (US$3,925/MOP31,590) per license.
The announcement follows recent statements by the state-run gaming corporation that it will begin privatising 17 exclusively-run casinos next year.
Akin to the decision of privatising, PAGCOR casino assets based on current needs to raise funds for public coffers, keeping electronic games operations licenses on short lease and renewal on an annual basis are seen as strategies to maintain steady financial inflow to public accounts.
PAGCOR’s chair Andrea Domingo was referred to as saying that the Pogo business is currently worth some P5.5 billion in licensing fees and royalties, excluding value-added elements to the domestic economy such as the rent companies pay for their offices and wages to thousands of Philippine workers.
Total income from off-shore gaming operations in the Philippines reached P488.49 million in the first quarter ended March 31, according to the latest financial results released by PAGCOR.
Income for electronic gaming operations amounted to P394.67 million over the same period.
Total income from all sorts of gaming operations, including casinos, amounted to P14.04 billion.