PAGCOR B2B Rules Open New Way for Foreign iGaming Firms

PAGCOR Launches Wider Approval System

The Philippine Amusement and Gaming Corporation (PAGCOR) introduced a new B2B framework last year. It applies to game studios, aggregators, and affiliates working with licensed casinos in the Philippines.

Companies must get PAGCOR approval before they can supply games. This also includes those working with Gaming System Administrators (GSAs). A key change is that foreign companies can now work through local distributors. This may change how international firms enter the market.

Legal experts say this is PAGCOR’s first full system for approving B2B providers. It may improve control while also creating new business chances.

Local Distributors Take A Bigger Role

Foreign companies can appoint a Philippine-based Exclusive Distributor (ED). This distributor must already be approved by PAGCOR. The local distributor then acts as the main contact for regulators. It handles compliance, communication, and game approvals.

It must also keep the required PAGCOR cash deposit. Each distributor can represent up to five foreign companies. This setup ends if the foreign company gets its own direct PAGCOR license.

Experts say this is not a shortcut, but a way to enter the market more easily. It may reduce costs and speed up launch time. Distributors are responsible for:

• Compliance reports

• Communication with regulators

• Game approval tasks

• Required deposits

Legal Issues Still Remain

Exclusive deals can raise competition concerns. Philippine law allows regulators to review these arrangements to ensure fair competition. Authorities can check if such deals limit market access or reduce competition.

Because of this, PAGCOR has already changed some rules for Gaming System Administrators. GSAs can no longer act as exclusive distributors due to competition concerns. Companies also need to deal with taxes, intellectual property, and legal disputes. Terms can differ from one agreement to another.

Online Gaming Continues to Grow In The Philippines

The new framework comes as online gaming grows quickly in the country. In 2025, PAGCOR reported total gaming revenue of PHP396.14 billion. This is a 6.39% increase compared to 2024.

Online and electronic gaming brought in PHP201.12 billion, rising by over 30% year-on-year. At the same time, land-based casinos saw weaker results. Revenue from licensed casinos fell to PHP182.50 billion in 2025. PAGCOR-operated casinos also dropped.

PAGCOR Chairman Alejandro Tengco said global factors are affecting land-based casinos, including higher fuel prices and lower travel demand. Still, interest in the Philippine online gaming market remains strong among foreign companies.