Pagcor expects decision very soon on splitting its operator and regulatory roles: Tengco

The Philippine Amusement and Gaming Corp (Pagcor) expects a decision on a proposal to separate the gaming agency’s regulatory and commercial functions to be announced “very soon”. The Governance Commission for Government-Owned or -Controlled Corporations (GCG), the government body overseeing state-owned entities, is currently reviewing the decoupling plan. “Currently, the proposal remains under review by the GCG, and we expect a decision to be out very soon,” stated Pagcor chairman and chief executive, Alejandro Tengco (pictured), as cited in a press release issued on Tuesday. Once the GCG completes its review, it will endorse the proposal to the Office of the President for evaluation, according to the announcement. “Should the President find merit in the proposal, an executive order will be issued to implement the separation of Pagcor’s regulatory and commercial functions,” said the Pagcor chief. He provided the update in a Tuesday keynote address at the IAG Academy Summit 2026 in Manila. Mr Tengco had previously suggested that the GCG could submit its recommendation in August and that progress on the proposed separation might be achieved by the end of this year. The plan would see Pagcor relinquish its casino-operator role and focus exclusively on regulating the country’s gaming industry. The agency currently operates about 40 Casino Filipino branches and satellite venues, which it intends to privatise. On Tuesday, Mr Tengco described the proposed separation as a major institutional reform with legal, financial, operational and human-resources implications. He said each stage therefore needed to be carefully considered and properly executed. The agency had already begun preparing for a future in which it could devote its resources and expertise primarily to regulation, he added. “This is not about how much we will generate. It is about strengthening Pagcor, and with its strength, we can do our work better,” Mr Tengco stated. He also reiterated that Pagcor’s dual role created an inherent conflict, as it meant the agency was responsible for regulating an industry in which it was also a commercial participant. “You do not want a regulator to regulate its own operations,” he noted. Mr Tengco noted that the country’s gaming market had changed significantly since the Casino Filipino network was established, with the emergence of private-sector licensees and the rapid growth of electronic gaming prompting Pagcor to reassess its commercial role. “The reality is that the industry is evolving at an unprecedented pace, and nowhere is that transformation more visible than in [the] electronic gaming [segment],” he stated. “To remain competitive, institutions must evolve as rapidly as the industries they regulate,” the Pagcor chief added. A legal analysis published in July by Philippine law firm Geronimo Law said that any requirement for buyers of Casino Filipino assets to retain existing employees could reduce the value of bids submitted for the venues.