PAGCOR - Offshore (POGO)
- Founded
- 2016-01-01 in Pasay City, Philippines
- Headquarters
- PAGCOR Executive Office, 5th Floor, PAGCOR Building, Pasay City, Philippines
The **PAGCOR – Offshore (POGO)** programme is the regulatory and licensing arm of the Philippine Amusement and Gaming Corporation (PAGCOR) that oversees **Philippine Offshore Gaming Operators (POGOs)** – online gambling firms licensed to offer casino, sports betting, and live-dealer games exclusively to players outside the Philippines. The POGO system was formally launched in **2016** under President Rodrigo Duterte, when PAGCOR began accepting licence applications to boost government revenue after deciding not to renew the licence of local online gambling firm PhilWeb. Although offshore gambling operations had existed in the Philippines since **2003** under economic zone authorities, the 2016 programme created a unified regulatory framework with three product categories: e‑casino, sports betting, and sports betting on regulated wagering events (SBRWE). Operators pay a **5% gross gaming revenue tax** and withholding taxes on foreign worker salaries, and are required to geo‑block Philippine-based players. The sector grew rapidly, employing tens of thousands of foreign workers (mostly Chinese) in Metro Manila, Cebu, and Pampanga. However, persistent allegations of tax evasion, human trafficking, money laundering, and other illegal activities led to a political backlash. In July 2024, President Ferdinand Marcos Jr. ordered a complete ban on all POGOs, effective 31 December 2024, and PAGCOR subsequently renamed the category “Internet Gaming Licensees (IGLs)” during the wind‑down. By 2025, all licensed POGO operations had ceased, and PAGCOR shifted its focus to enforcing the ban and repatriating illegal workers.
Detailed Review
Background
The PAGCOR – Offshore (POGO) programme was established to regulate online gambling firms that physically operate in the Philippines but target foreign customers, particularly from China, where gambling is illegal. PAGCOR issued licences in three distinct product buckets:
- E‑Casino – traditional online casino games, including slots and table games. - Sports Betting – betting on sports events. - Sports Betting on Regulated Wagering Events (SBRWE) – wagering on events regulated by other recognised bodies.
Additionally, operators could be classified into Category 1 (live‑dealer streaming with real women dealers) or Categories 2 & 3 (back‑office support, classified as business process outsourcing – BPO). The BPO classification allowed POGO service providers to be included in Philippine outsourcing statistics, though the IT and Business Process Association of the Philippines (IBPAP) contested this.
Regulatory Requirements
Licensed operators were required to: - Host servers and staff within Philippine economic zones. - Route player funds through PAGCOR‑monitored channels. - Remit 5% of gross gaming revenue and a 25% withholding tax on foreign worker salaries. - Implement geo‑fencing and KYC checks to exclude Philippine residents and players from jurisdictions where offshore gambling is illegal.
At its peak in 2019, around 60 licensed POGOs were active, generating significant revenue for the government. By 2022, only 34 licences were active, with reported revenue of PHP 1.67 billion. The sector came under intense scrutiny from 2018, when Senator Risa Hontiveros filed a resolution calling for a ban. Senate hearings in 2024 uncovered widespread abuses, including torture, slavery, and crypto scams, leading to President Marcos’s 22 July 2024 State of the Nation Address ordering a full shutdown. The Anti‑POGO Law was signed in October 2025, officially banning all POGO operations. PAGCOR’s offshore revenue, which contributed nearly PHP 3 billion in 2024, fell to zero in 2025. Post‑ban, PAGCOR has focused on enforcement, such as granting PHP 50 million to the Bureau of Immigration for repatriation of illegal POGO workers.
Legacy
The programme’s legacy remains controversial: while it generated tax revenue and employment for Filipinos in support roles, it also fostered an enclave of criminal enterprises that ultimately led to its prohibition.
Key Products
POGO Licensing Framework
PAGCOR's regulatory programme that licensed foreign-facing online gambling operators (e-casino, sports betting, SBRWE) and accredited service providers (gaming software, BPO, content streaming). Active 2016–2024, now terminated.
Casino Filipino
PAGCOR's own chain of land-based casinos operating across the Philippines, offering table games, slots, and VIP rooms.
e-Games Licences
PAGCOR-issued licences for electronic gaming machines and platforms in third-party venues (e.g., e-Bingo, electronic slots).
Sports Betting Licences
Authorisations for domestic sports betting operators (e.g., basketball, boxing) separate from the POGO programme.
Illegal Gaming Suppression Unit
Post-ban enforcement unit that grants funding to agencies like the NBI and BI to combat unlicensed offshore gambling and repatriate foreign workers.
Category 1 (Live Dealer)
License for operators using live-streamed human dealers for games such as baccarat, roulette, and blackjack.
Anti-Money Laundering Compliance & Enforcement
PAGCOR oversees AML supervision for all licensed gaming operations, including POGOs.
Category 2 & 3 (BPO Back-Office)
Licenses for support services including customer service, IT, and payment processing for offshore gaming firms.
Grant Programs (PHP 50M each to BI and NBI)
Funding to assist in deportation of illegal POGO workers and investigation of illegal gambling.
E‑Casino Licence
Authorises operators to offer online slots, table games, and other casino games to foreign players.
Sports Betting Licence
Permits wagering on sports events from international markets.
Sports Betting on Regulated Wagering Events (SBRWE) Licence
Allows betting on events regulated by other recognised sports or wagering bodies.
Live‑Dealer Streaming (Category 1)
A licence sub‑type for operators that stream live casino games with real dealers.
Back‑Office BPO Services (Categories 2 & 3)
Licences for firms providing customer support, IT, and administrative services to POGOs, classified as BPO.
Internet Gaming Licensee (IGL)
Renamed category used after October 2023 during the wind‑down phase; functionally the same as POGO.
Key Persons
Alejandro H. TengcoChairman & CEO
Wilma T. EismaPresident and Chief Operating Officer