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PAGCOR Delays Minimum Fee Rollout for Online Operators

PAGCOR Delays New Minimum Guaranteed Fee Implementation – Philippine Online Operators Receive Two-Month Extension

Key Takeaways

• PAGCOR has postponed the implementation of its new monthly minimum guaranteed fee by two months.
• The first tranche will now take effect on 1 June 2026, while the second tranche moves to 1 January 2027.
• Online casino operators will face monthly MGFs of Php 9m and Php 10.5m under the two tranches, subject to gross gaming revenue thresholds.
• Operators that fail to declare online casino offerings risk administrative penalties, including possible suspension or cancellation.
• PAGCOR has also signed a memorandum with the Department of Justice and accredited Gaming Laboratories International as its first certified testing provider.

PAGCOR Postpones Rollout of New Minimum Guaranteed Fee Structure

The Philippine Amusement and Gaming Corporation has delayed the rollout of its new monthly minimum guaranteed fee framework for licensed online operators. According to reports, the regulator issued a memorandum through its Electronic Gaming Licensing Department moving the initial implementation date from 1 April 2026 to 1 June 2026.

The second phase of the fee structure has also been rescheduled. Instead of taking effect on 1 October 2026, it will now begin on 1 January 2027.

Inside Asian Gaming reported that the postponement is likely linked to what it described as the current economic crisis. PAGCOR stated that it will conduct a comprehensive evaluation of prevailing industry conditions to determine whether further adjustments are necessary to support the sector’s long term sustainability.

For licensed operators in the Philippines iGaming market, the revised timeline means additional time before the new fee obligations become enforceable.

Fee Levels and Gross Gaming Revenue Thresholds Explained

Under the first tranche, operators offering electronic casino games in the Philippines will be required to pay a monthly minimum guaranteed fee of Php 9m if they generate at least Php 30m in gross gaming revenue per month.

Operators that do not provide online casino titles will face a lower threshold and fee. If they generate a minimum of Php 15m in monthly gross gaming revenue, they must pay a Php 3m monthly MGF.

The second tranche increases both revenue thresholds and corresponding fees. Operators supplying online casino games will be required to pay Php 10.5m per month if they reach a minimum of Php 35m in monthly gross gaming revenue.

For operators without online casino offerings, the second phase sets a minimum gross gaming revenue threshold of Php 20m, triggering a monthly MGF of Php 4m.

The structure distinguishes clearly between businesses that offer online casino titles and those that focus on other electronic gaming segments. For operators assessing their cost base in the Philippine market, these thresholds define the minimum monthly financial obligation once the respective tranche comes into force.

Compliance Obligations and Risk of Sanctions

The memorandum also reiterates compliance requirements for licensed entities. Any operator found to be offering online casino titles without declaring this to PAGCOR may face administrative penalties.

Sanctions can include suspension or cancellation of accreditation. This provision places reporting accuracy at the center of regulatory compliance. Operators must ensure that their declared product verticals align with their actual offerings to avoid enforcement action.

For international companies active in the Philippines or considering entry, the distinction between declared and undeclared online casino operations carries direct licensing risk.

PAGCOR Expands Oversight Through DOJ Agreement

While delaying the MGF timeline, PAGCOR has introduced additional regulatory measures in recent weeks. The regulator signed a memorandum of agreement with the Philippines Department of Justice.

Under this agreement, DOJ personnel will be included on PAGCOR’s list of individuals restricted from entering casinos. According to the state run Philippine News Agency, this marks the first formal pact between the two government bodies.

Justice Secretary Fredderick Vida stated that the data sharing initiative aims to strengthen enforcement mechanisms and improve identification systems. The agreement enables PAGCOR to regulate access to gaming venues more effectively while allowing the DOJ to reinforce discipline within its ranks.

The cooperation reflects a broader effort to tighten operational controls within the regulated gambling environment.

Gaming Laboratories International Becomes First Certified Testing Provider

PAGCOR has also accredited Gaming Laboratories International as the first certified gaming testing company under its updated framework.

GLI will be responsible for testing and certifying iGaming platforms operating in the Philippine market. PAGCOR Chair and Chief Executive Officer Alejandro Tengco described GLI as a global leader in regulatory advisory, iGaming and electronic gaming machine testing and certification, as well as data security.

PAGCOR now requires all iGaming business to business suppliers operating in the Philippines to obtain accreditation. The regulator states that this requirement is intended to ensure compliance with technical and security standards designed to protect players.

For platform providers and technology suppliers, accreditation status now forms a mandatory part of operating legally within the Philippine iGaming ecosystem.

Our Assessment

PAGCOR’s decision to delay the implementation of the new minimum guaranteed fee structure shifts key financial deadlines for licensed online operators by two months. The revised schedule affects both phases of the MGF framework and maintains differentiated fee levels based on gross gaming revenue and product type.

At the same time, the regulator has introduced additional compliance measures, including stricter reporting obligations for online casino offerings, a formal data sharing agreement with the Department of Justice, and mandatory accreditation for iGaming suppliers through certified testing providers. Together, these steps indicate an adjustment of the fee timeline while regulatory oversight and technical compliance requirements continue to expand.