The regulatory body of Philippines casinos is donating $39 million to its federal government to help the government to fight the pandemic of Corona virus.
The Philippines Amusement and Gaming Corporation, or the PAGCOR is of the opinion that the year 2020 is going to be prosperous, despite the global health crisis and the tumbling global economies. The PAGCOR operates eight brick and mortar casinos under the Casino Filipino brand and many smaller satellite venues, in addition of its regulating the multibillion dollar casino resorts in Manila’s Entertainment City.
PAGCOR Chairperson Andrea Domingo has issued a 2020 gross gaming revenue target of PHP290 billion. That’s a nearly 17 percent increase on 2019’s casino and online gaming win, which totaled $4.85 billion.
Resorts World, City of Dreams, Okada, and Solaire, the four integrated resorts in the Entertainment City, made up the bulk to the 2019 Gross Gaming Revenue. These casinos won $3.23 billion. The land based casinos of PAGCOR won $720 million, and the Philippine Offshore Gaming Operators or POGO gained $700 million. Remaining $200 million was grossed by the commercially operated casinos, in Clark and Thunderbird.
It is not a sure bet
Many potential factors covering the Domingo’s grand GGR forecast can prevent the realization of the GGR.
The main factor is the pandemic of Corona Virus. The major casinos in Philippines are in Entertainment City and they are all open. The World Health Organization has reported 52 confirmed cases from these casinos and two cases out of these have died.
The number of confirmed COVID-19 patients in the Philippines is rising and President Rodrigo Duterte already declared astate of public health emergency because of this,” Domingo said of PAGCOR $39 million donation.
She further said that “We want to help the concerned agencies in the fight against and containment of this deadly disease.”
This Virus is good for Some Businesses
POGO operation is continuously increasing its revenue. The 60 active online gaming permit holders had encashed on the widespread travel restrictions in Asia. It is inspite of Philippines Casino Regulator putting a cap on licenses.
POGO targets mainly the Chinese nationals. Gambling is not legal in People’s Republic of China. Only the state run lottery and the Special Administrative Region of Macau are permitted there.
China is on lockdown from a long time. 81,000 cases of Corona virus infection has been reported in this country. It has resulted into 3,180 deaths till now.
Because Entertainment City caters to Chinese citizens, their inability to travel may prompt them to take their gaming money online.
“In the Philippines, it’s a regulated online market and there is a fair amount of volume throughout Asia going through those Philippine servers,” activist investor Jason Ader told recently. “Since the corona virus, travel has been constrained in Macau and throughout the region, and there’s been a significant surge in online play on those servers.”
The SpringOwl Asset Management of Ader has a $100 million position in UK gaming software giant, Playtech.
There are allegations that hundreds of thousands of illegal immigrants from China are working these internet casino hubs. POGO has been severely scrutinized for these allegations. PAGCOR made a statement that there are only one in four workers at POGO is Filipino.