Marcos skips iGaming in SONA, signals room for reform
President Ferdinand “Bongbong” Marcos Jr. did not mention online gambling during his 2025 State of the Nation Address (SONA) – a move that some in the iGaming sector viewed not as an omission, but as a deliberate decision.
Marie Antonette Quiogue, founder of Arden Consult and a veteran industry advisor, said that despite the growing debate and political pressure surrounding the issue, the President chose not to declare a position on whether online gambling should be banned. In this case, restraint is a form of leadership. “This was not a missed opportunity— it was a conscious choice to avoid a knee-jerk policy that could create more problems than it solves,” she said in a LinkedIn post. Rather than offering a populist or simplistic stance, the President’s silence was interpreted as leaving space for a more “thoughtful, evidence-based approach to take shape.”
Speaking with SiGMA News, Jonas Diego, a gaming industry veteran, supported the President’s direction. “Certainly, there will be continuing calls to regulate the industry. And a few will still advocate for a total ban. But I think this is the right call by the President.”
Regulation keeps the industry within reach of law
In her LinkedIn post, Quiogue warned that prohibiting online gambling outright would worsen the situation by driving it underground. “Banning drives the activity underground, where illegal operators thrive outside the law’s reach,” she explained.
“By not announcing an outright ban, this keeps gambling within the visible, enforceable realm of the law – where we can tax it, monitor it, and protect consumers – rather than pushing it into the shadows.” She argued that this “pragmatic approach aligns with what global experts and local stakeholders have been saying for months: target the real enemy – the unlicensed black market – instead of throwing out the whole industry.”
iGaming revenue remains crucial to national budget
One key reason the President may have refrained from banning the industry is its economic contribution, according to Quiogue. “Licensed online gaming contributed over PHP112 billion ($1.95 billion) to government coffers in 2024, including PHP16.6 billion ($290.4 million) for universal healthcare (PhilHealth) and PHP46 billion ($804.6 million) to the national treasury,” Quiogue stated. She warned that “a blanket ban would blow a hole in the budget and cost an estimated 50,000 jobs, all while millions of Filipino players would simply move to illegal sites.”
Speaking with SiGMA News, John Calderon, an iGaming consultant, made a similar observation. “Though PhilHealth was prominently featured in the speech, with indications that it is receiving significant financial support.”
“Reports have shown that PAGCOR has donated substantial funds to PhilHealth and plans to continue doing so. This suggests that a complete ban on the gambling industry may not be forthcoming, as its benefits are considered to outweigh the potential negative effects,” Calderon noted.
Regulators and industry tightening rules proactively
Even without a national ban or new legislation, regulatory tightening is already underway. “Over the past several weeks, key regulators and industry players have begun tightening the rules in anticipation of a policy shift,” Quiogue said. “On 16 July, PAGCOR and the Ad Standards Council signed an MOU to pre-screen all gambling advertisements. PAGCOR had already ordered the removal of all gambling billboards on EDSA and public transport, effective next month.”
The Cybercrime Investigation and Coordinating Center (CICC) has also begun taking action against illegal promotions. “After prior warnings were ignored, the agency announced it will start issuing legal demand letters and pursuing criminal charges against those shilling for unlicensed operators,” she said. Quiogue noted further action on the digital front: “Meta removed 20 Facebook pages of influencers linked to illicit gambling rings, in coordination with Philippine authorities.”
She also highlighted the role of the financial sector. “The Bangko Sentral ng Pilipinas (BSP) has stepped up as well. It circulated a draft circular requiring e-wallets and payment providers to implement tougher Know-Your-Customer (KYC) and transaction controls specifically for online betting.” Financial institutions are responding. “The country’s FinTech Alliance (which includes GCash, Maya, GrabPay, and other major e-wallets) announced support for stricter measures, including enhanced due diligence for any merchant tied to online gaming and blacklisting of illegal gambling sites.”
Industry moves toward self-regulation
According to Quiogue, legitimate online gaming firms are not waiting passively. “Several PAGCOR-licensed online gaming firms – the ones who jointly spoke out against a ban – have begun forming a new association to pursue self-regulation and collaboration with the government.”
She cited a joint statement made earlier in the month: “In their joint statement two weeks ago, these operators acknowledged the need for stronger rules and ‘stand united’ with PAGCOR and lawmakers in calling for stricter regulation (not prohibition) to keep players safe.” She said these actions are proof that “regulation is already tightening before any new law is even passed.”
Public confusion requires education and transparency
Quiogue emphasised the importance of addressing public misunderstanding about legal and illegal gambling. “Many Filipinos don’t know which online gambling is legal and which isn’t. One reason for this confusion is that illegal operators deliberately masquerade as legitimate businesses.”
She explained that had flagged a rise in unauthorised gambling livestreams on Facebook and fake websites pretending to be official agencies, including one imitating the Department of Trade & Industry. “This is why I firmly believe the next crucial step is a nationwide public education campaign on gambling literacy,” she said. “PAGCOR and media outlets should regularly publish lists of authorised online gaming sites and warnings about known illegal ones.”
“The public should hear that licensed operators have strict ID checks (21+ only), betting limits, self-exclusion options, and contribute to social causes – none of which the illegal sites bother with. In short, we must make ‘regulated’ a consumer selling point,” she added.
Global examples support regulated markets over bans
Quiogue drew comparisons from around the world. “Intelligent regulation outperforms prohibition – both in protecting society and in yielding better outcomes.” She cited the United Kingdom as a mature model. “The UK legalised online betting nearly two decades ago under a strict licensing regime that mandates KYC checks, anti-problem gambling tools, and advertising standards.”
“Sweden quickly achieved an estimated 85 percent’ channelisation rate’ – meaning over 85 percent of Swedish online gamblers stick to licensed local sites instead of risky offshore sites,” she added.
In contrast, she pointed to countries that enforce full bans. “China: All forms of gambling (except its state lotteries) are illegal, and online gambling is no exception. Yet China faces one of the world’s largest illegal gambling problems.” She warned that “despite draconian penalties, the cat-and-mouse game continues, with criminal networks simply moving servers offshore.”
Quiogue also cited Indonesia. “Indonesia’s experience underscores that moral absolutism (‘zero gambling’) often backfires: you get the social ills of gambling plus the ills of organised crime, with none of the mitigating benefits regulation could provide.”
“The lesson is clear: regulated markets can channel human behaviour far better than black markets can,” Quiogue said.
A roadmap for reform: From enforcement to metrics
Quiogue outlined the steps needed to make regulation effective. “The President’s decision is only the starting gun,” she said. Among the priorities: “All-Out Enforcement vs. Illegal Sites – Launch an aggressive, technology-driven campaign to block and take down illegal gambling websites.” Next, she called for legal action: “Prosecution of Unlicensed Promoters – Move from warnings to actual cases against those who facilitate illegal gambling.” She urged support for the self-regulatory movement. “Finalise the Operators’ Association – Support the rapid formation of the new industry association of licensed online operators.”
Public education remains essential. “Launch a National Consumer Education Campaign – As discussed, we need to educate and inform the public as proactively as we now plan to regulate the industry.” Finally, she said, regulation must be measured. “Measure Channelisation and Impacts – institute ongoing measurement of how well our regulatory strategy is working.” She added, “One key metric should be the channelisation rate – i.e., what percentage of total online gambling by Filipinos is happening on licensed sites vs. illegal ones.”
“‘Regulate, not ban’ is not a one-time decision, but a continuous commitment. It requires diligence from authorities, integrity from industry, and awareness from the public. Now, the real gamble is whether we can deliver on the promise of regulation – reducing the harms while preserving the benefits,” she concluded.
A time to prove value
“This presents an opportunity for our industry. To show our value and worth, especially in these trying times,” Diego said.
Calderon added that although the SONA did not directly address iGaming, the issue is still alive. “It appears that the debate over whether to ban the industry is still ongoing… This suggests that a complete ban on the gambling industry may not be forthcoming, as its benefits are considered to outweigh the potential negative effects.”
