Gambling License in Philippines

The Philippines has emerged as a key player in the global online gambling industry, offering one of the most comprehensive and business-friendly regulatory frameworks in Asia. A Philippines gambling license—whether issued by PAGCOR or CEZA—grants operators the legal right to run online casinos, sportsbooks, and other iGaming platforms catering to international and local markets. If you’re looking to operate a legal online gaming business in Asia, obtaining a gambling license in the Philippines is a strategic choice.

This guide covers all you need to know: license types, regulatory bodies, application process, legal requirements, costs, taxation, compliance expectations, and why the Philippines continues to attract top-tier operators.

Regulatory Authorities in the Philippines

The two primary regulatory bodies for issuing gambling licenses in the Philippines are:

1. PAGCOR (Philippine Amusement and Gaming Corporation)

   • Government-owned agency that regulates and licenses offshore and local gaming operations.

   • Issues POGO (Philippine Offshore Gaming Operator) licenses for offshore-facing platforms.

2. CEZA (Cagayan Economic Zone Authority)

   • Special economic zone authority in the Cagayan Valley.

   • Issues licenses to companies operating within the Freeport Zone, often with international audiences in mind.

Types of Gambling Licenses in the Philippines

1. POGO License (Offshore)

   • For online gaming platforms targeting users outside the Philippines.

   • Includes casino games, sports betting, poker, bingo, and lottery platforms.

   • Licensee must not offer services to Philippine residents.

2. Local Gaming License (Domestic)

   • Issued for land-based casinos, bingo halls, and e-gaming cafes.

   • Requires different tax and regulatory compliance.

3. CEZA Interactive Gaming License

   • Issued for iGaming businesses operating from CEZA’s economic zone.

   • Must operate servers physically located within CEZA.

Key Benefits of a Philippines Gambling License

• Business-Friendly Regulations

• Access to Asian and international markets

• Cost-effective compared to EU jurisdictions

• Tax incentives for companies based in economic zones

• Governmental support and legal clarity

• High global reputation via POGO framework

• Strong growth in the Asian gambling sector

• Recognition from financial institutions and service providers

Eligibility and Legal Requirements

To qualify for a gambling license in the Philippines, companies must fulfill several criteria:

• Incorporate a Philippine-based or CEZA-registered business entity

• Appoint key personnel: Compliance Officer, AML Officer

• Submit detailed business plan

• Provide proof of capital sufficiency

• Establish local presence (office, server hosting, staff)

• Pass background checks for directors and shareholders

• Ensure source of funds is verified

• Demonstrate operational readiness through software and technical documentation

Philippines Gambling License Application Process

Step 1: Business Incorporation

• Register a domestic company with the Securities and Exchange Commission (SEC) or CEZA

• Appoint directors, officers, and authorized representatives

Step 2: Prepare Required Documentation

• Business plan and financial projections

• Articles of Incorporation

• ID and police clearance for shareholders and directors

• Proof of office address and server infrastructure

Step 3: Application Submission

• Submit complete documentation to PAGCOR or CEZA

• Pay application and due diligence fees

Step 4: Review and Due Diligence

• Regulatory review of company structure and business plan

• Interviews with key personnel

Step 5: Approval and License Issuance

• License issued for one to three years (renewable)

• Must maintain compliance and renew before expiration

Costs and Fees

Taxation

• Corporate Tax: 25% on net income (under CREATE Law)

• POGO Licensees:

  • 5% franchise tax on gross gaming revenue

  • 25% tax on salaries of foreign staff

• CEZA Licensees:

  • Special tax rates available for Freeport-registered enterprises

• Withholding tax and VAT may apply on certain services and supplies

Compliance and AML Obligations

License holders are required to:

• Maintain strong AML and CFT protocols

• Implement robust KYC (Know Your Customer) checks

• Submit regular reports to AMLC (Anti-Money Laundering Council)

• Segregate player funds in separate accounts

• Conduct internal and external audits

• Monitor player activity for suspicious patterns

• Conduct ongoing employee training in compliance best practices

Economic Substance Requirements

• Maintain physical presence (office, server, staff) in the Philippines

• Employ locals where possible

• Conduct board meetings within the country

• Ensure key management decisions occur locally

• Ensure substantive operations are not outsourced overseas

Technology and Hosting

• Servers must be based in approved Philippine locations

• Platforms must meet gaming fairness standards

• RNG certification from accredited labs may be required

• Secure data centers and backups must be in place

• Ensure cybersecurity infrastructure meets international standards

• Real-time monitoring and reporting systems must be operational

Responsible Gaming Requirements

• Player self-exclusion systems

• Deposit limits and session tracking

• Time-out and reality check features

• Access to help for problem gamblers

• Educational materials about safe gambling practices

• Third-party player protection evaluations recommended

Comparison with Other Asian Jurisdictions

Who Should Apply?

• Casino game platforms targeting Asia

• International sportsbooks

• Live dealer game studios

• Online poker networks

• Game software providers

• Affiliates offering white-label gaming

• Blockchain-based gaming platforms

• Mobile-first gaming startups

Challenges and Considerations

• Ongoing scrutiny from AML regulators

• High operational costs for compliant infrastructure

• Increased global attention on POGO framework

• Need for local expertise and advisors

• Potential regulatory shifts requiring adaptive strategies

• Cultural and linguistic barriers for international entrants

Future Outlook

• Regulatory modernization expected from PAGCOR

• Potential new zones similar to CEZA being developed

• Integration of blockchain and crypto regulation

• Expansion of responsible gambling campaigns

• Technology-driven compliance automation

• Greater international collaboration on anti-fraud efforts

• More clarity around taxation of digital assets in gaming

A gambling license in the Philippines offers a powerful gateway to the growing Asian iGaming market. With favorable tax conditions, regulatory clarity, and government support, it’s an ideal jurisdiction for serious gaming businesses. However, success requires full legal compliance, proper infrastructure, and a commitment to responsible gaming.

By understanding the application process, compliance obligations, and strategic advantages, operators can make informed decisions about setting up in the Philippines. Whether you’re a tech startup or an established casino brand, the opportunities in this region continue to expand.

If you’re ready to launch or expand your iGaming operations in Asia, obtaining a Philippines gambling license could be the smartest move you make. Contact our experts for assistance with setup, compliance, and ongoing support.