19-3-2024 (MANILA) In a bid to solidify its position as one of Asia’s premier gambling hubs amid increasing competition, the Philippines is poised to witness substantial investments totaling up to $6 billion in its casino sector over the next five years, revealed Alejandro Tengco, Chairman of the Philippine Amusement and Gaming Corp (PAGCOR).
Speaking at the sidelines of the Asean Gaming Summit, Tengco outlined ambitious plans for the industry, including the opening of at least one new casino-resort every other year. These developments will extend beyond the capital city of Manila to areas such as Clark, a former US military base, and Cebu in the central region of the country.
“Our growth trajectory will continue with the establishment of new casinos and the expansion of the electronic gaming segment,” Tengco stated, underscoring the sector’s resilience and potential for further expansion.
Anticipating robust growth, Tengco expressed confidence that the Philippines could achieve its target of generating total gross gaming revenue (GGR) ranging between 450 billion to 500 billion pesos (US$8 billion to 9 billion) by 2027, a year earlier than initially projected.
In 2023, the Philippines witnessed a record-breaking total GGR of 285 billion pesos, signalling the industry’s upward trajectory and its ability to weather challenges such as the absence of mainland Chinese high-rollers due to the COVID-19 pandemic and stricter regulations on junkets.
Notably, the Philippines’ gaming landscape has seen the active participation of gamblers from Japan, South Korea, and Singapore, along with robust engagement from the domestic mass market segment. This diverse patronage has contributed to the success of casino resort operators like Bloomberry Resorts, Japan’s Universal Entertainment, and units of Philippine conglomerates SM Investments and Alliance Global Group.
However, with looming competition from emerging gaming destinations such as Japan and Thailand, which is reconsidering the legalization of casinos, the Philippines is gearing up for heightened regional rivalry.
“We have about five to six years to fortify and solidify so when they open, we are mature already,” Tengco affirmed, highlighting the industry’s strategic approach to navigate evolving dynamics and maintain its competitive edge.
