Incoming legislators of the 20th Congress filed their priority bills as soon as their terms started last June 30. Many of these proposed laws pertain to the economy, encompassing the three major sectors of agriculture, industry, and services. Those that involve revenues and taxation must originate from the House of Representatives as mandated by the 1987 Philippine Constitution, just like in most countries that have bicameral legislatures.

However, first, the newly elected lawmakers must resolve the leadership issue in each chamber. Senator Francis Escudero has reportedly secured the Senate presidency with more than the 13 votes needed for him to continue presiding over the upper house. Former Senate President Vicente Sotto III has effectively conceded by indicating his willingness to accept the post of Senate minority leader.

At the House of Representatives, allies of Speaker Martin Romualdez claim that he already has a supermajority to retain the speakership. A potential dark horse is Deputy Speaker Duke Frasco, who has surfaced as a contender due to his executive and legislative experience as a third-term congressman and previously the mayor of Liloan in Cebu. The race has started to heat up since the new Congress is about to convene on July 28.

Winners of the top positions in the two houses will have their hands full attending to the looming impeachment trial of Vice President Sara Duterte. Another matter that they have to contend with is the rise of online gaming throughout the country. This issue has triggered a surge in the filing of bills in both houses seeking to further regulate the industry.

Philippine Amusement and Gaming Corporation (Pagcor) is the industry’s primary regulator. In 2020, Pagcor began issuing Philippine Inland Gaming Operator (PIGO) permits, which enable online gaming services to be offered to registered players in the domestic market. PIGO is not to be confused with the Philippine Offshore Gaming Operator or POGO service providers that catered to overseas players and have been totally banned beginning this year.

PIGO operations are required to remit a portion of their gross gaming revenue to Pagcor. Their contributions generate funds for the government’s infrastructure program and social welfare projects. They provide a steady income stream to both the government and the licensed operators that have been allowed to extend their services to the digital sphere.

IEST Inc., a subsidiary of publicly listed DFNN Inc., was the first company to be granted a PIGO license by Pagcor. In a disclosure to the Philippine Stock Exchange, DFNN said it fully supports the proposed congressional legislation aimed at enhancing consumer protection and mitigating the propagation of problematic gaming habits.

“It is equally important, however, to consider the operational diversity across the holistic gaming ecosystem,” DFNN emphasized. It warned that well-intended restrictions might unintentionally create incentives for the lower-income segment of the population to seek alternatives from unlicensed gray-market operators or offshore platforms that exist beyond regulatory reach and without social safeguards.

As the debate rages about a proposed ban on online gaming, it is worth noting that national and local officials have not been successful in banning the illegal numbers game called jueteng or its numerous variants. They have thrived in the Philippines for decades and even centuries, along with cockfighting, which has morphed into e-sabong.

Contrast them with PIGO platforms that are subject to Pagcor’s strict monitoring and implementation of player verification rules, such as age checks and anti-money laundering measures prior to onboarding. Once the players are registered, PIGOs would then enforce the features that are designed to deter addictive behavior. Pagcor also mandates audit trails and dispute resolution mechanisms that provide recourse to aggrieved participants. No major controversy has been attributed to these legal gaming entities so far, unlike the missing sabungeros and the dreaded POGOs.

Since pre-colonial times, Filipinos have engaged in games of chance as a social activity and a form of recreation. Popular among the more recent generations are card games, bingo, lotto, and sports betting. Indeed, gambling has deep roots in our culture, long before the casinos and integrated resorts emerged in the local landscape.

The government should therefore focus on addressing issues related to underage gaming and gambling addiction through a public information program and by cracking down on illicit operations. On the part of licensed operators, they should invest in tech safeguards and make responsible gaming a cornerstone of their business. Striking the right balance will help foster a gaming environment that prioritizes entertainment and minimizes social risks.