Gov't share in Pagcor income trails pre-pandemic level
At A Glance
- The government's share of Philippine Amusement and Gaming Corp. (Pagcor) revenues saw a significant increase in the first 10 months of the year, although it has yet to reach the pre-pandemic level.<br>Between January and October, Pagcor, as the gaming regulator and operator, contributed a total of P27.17 billion to the Bureau of the Treasury, meeting the mandated 50 percent share of Pagcor's income.<br>At end-October, Pagcor's contribution had risen by 37 percent compared to the P19.96 billion recorded in the same period last year, already surpassing the P15 billion target for 2023.<br>Despite this positive development, the total 10-month contribution remained below the pre-pandemic amount, which stood at P29.24 billion.<br>In October alone, Pagcor's contribution to the Treasury amounted to P2.81 billion, marking a 26 percent increase from the P2.23 billion recorded in the same month in 2022.<br>In 2024, the Treasury expects P29.87 billion from Pagcor, a figure that still falls short of the P35.46 billion remitted before the Covid-19 crisis.
The government's portion of the Philippine Amusement and Gaming Corp. (Pagcor) revenues jumped in the first 10 months of the year, but it remained below the pre-pandemic level.
The government's gaming regulator and operator contributed P27.17 billion between January and October, meeting the mandated 50 percent share allocated to the Bureau of the Treasury in Pagcor’s income.
The contribution from Pagcor at the end of October was 37 percent higher than the P19.96 billion recorded in the same period last year, and had already surpassed the P15 billion target for 2023.
However, despite this better-than-expected remittance, the total for the 10 months remained below the pre-pandemic amount, which stood at P29.24 billion.
In October alone, Pagcor's contribution to the Treasury amounted to P2.81 billion, marking a 26 percent increase from P2.23 billion in the same month in 2022.
In 2024, the Treasury expects P29.87 billion from Pagcor, which is still lower than the P35.46 billion remitted before the Covid-19 crisis in 2019.
Earlier, Pagcor reported that the gross gaming revenues (GGR) from gambling operations in the country have exceeded their pre-pandemic levels in the first nine-months of the year.
From January to September this year, the country's total GGR reached P205.15 billion, an 8.4 percent increase compared to the P189.19 billion recorded in the same period in 2019, prior to the onset of the Covid-19 pandemic in 2020.
The Pagcor data revealed that the end-September GGR also exceeded the P149 billion revenues recorded in the same period in 2022 by 38 percent.
Ajejandro H. Tengco, Pagcor chairman and chief executive officer, said last November that the local gaming industry was poised to exceed its pre-pandemic GGR by the end of this year.
The Philippine GGR amounted P256.5 billion before the Covid-19 pandemic hit.
“Today, we expect the 2023 GGR to match, if not surpass, our 2019 record,” Tengco said in November.
“Not bad considering that many of our traditional high rollers and junkets have not fully returned, but our domestic players and the influx of new tourists have filled the void,” he added.
Tengco said the easing of travel and movement restrictions has led to increased demand for dining, shopping, and other outdoor activities that were restricted during the pandemic.
In addition, the Pagcor chief emphasized that the opening of more integrated resorts, particularly in Clark, Pampanga, would contribute to the continued growth of the local gaming industry.
“Clark is projected to become a major gaming and tourism hub before the end of this decade. If you go around Clark, you can see its immense potential,” Tengco said.
“You can see the infrastructure in place, you can see the surrounding tourist destinations, and you can see the new buildings and new commercial districts being developed in all directions,” he added.