S&P Global Predicts Decline in Philippine Gaming Revenue

The Philippine gaming industry is bracing for a downturn, with S&P Global Ratings forecasting a 7% decline in gross gaming revenue (GGR) for 2026.

A major factor is the government's crackdown on online gaming following rapid, uncontrolled growth that raised social concerns.

Additionally, rising inflation linked to international conflicts has reduced the discretionary spending power of middle-income consumers.

Physical casinos are also feeling the squeeze as players increasingly favor digital alternatives.

While S&P anticipates a modest 2% recovery by 2027, the local regulator, PAGCOR, remains more pessimistic, warning that annual losses could reach 19%.

This situation underscores the structural regulatory risks inherent in the Asia-Pacific gaming sector, where political shifts often prioritize social stability over industry expansion.