With online income surpassing land-based casinos for the first time, there is a growing desire for iGaming expansion in the Philippines.

The Philippine Amusement and Gaming Corporation (PAGCOR) reported modest increase overall in 2025, with electronic and online gaming accounting for more than half of its revenue (50.77%), surpassing licensed casinos as the largest source of income.

Alejandro Tengco, Chairman and CEO of PAGCOR, responded to the news by saying: "The rise in electronic gaming revenues demonstrates how the industry has evolved." Online gaming is now the main factor driving overall GGR growth, rather than a supplemental market.

In 2025, electronic gaming brought in P201.12 billion (£2.48 billion), a 30% increase over the previous year. Despite a decline in performance for land-based gaming, this robust performance also propelled overall year-over-year revenue growth of 6.39% to P396.1 billion (£4.87 billion).

Licensed casinos saw a 9.58% drop in income to P182.50 billion (£2.24 billion) from P201.84 billion (£2.48 billion) in 2024. PAGCOR-operated casinos saw a 21% year-over-year reduction in revenue to P12.52 billion (£154 million).

Casinos all over the Philippines have been looking to enter the online market in response to this change in customer behavior. 

The New Coast Hotel Manila's owner, International Entertainment Corporation, said this week that its company, New Coast Leisure Inc., obtained an Electronic Games Operator license from PAGCOR in February 2025 and is currently in talks with a possible operator target.

In the midst of a poor financial performance in 2025, Okada Manila's owner, Tiger Resort, Leisure and Entertainment, has also confirmed plans to introduce Okada Play in an effort to "capture new revenue opportunities."

The integrated resort's gross gaming revenue decreased by 20% year over year to P27.8 billion (£347.5 million) in 2025 due to a drop in VIP revenue and fewer foreign visitors.

As one of the few nations in the area with a fully regulated online gambling industry, the Philippines is a key indication of the growth of iGaming throughout Asia. 

The crackdown on the black market is one of the factors driving the Philippines industry's expansion and providing prospective opportunities for other Asian economies where illegal markets have outgrown the regulated sector. 

Malaysia is a prime example of a market that could benefit from the Philippines' stricter licensing regulations.

The country's illicit gambling industry brings in about RM18 billion (£3.43 billion) annually, according to figures published in 2023. This means that the government is losing out on RM5 billion (£951.4 million) in crucial tax revenue.