The growth of the online casino business in the Philippines has caused a boom in the construction of so-called “POGO hubs,” centers that will house the Philippine Offshore Gaming Operations and their staffs.
More than 50 POGOs have been licensed since 2016. The chief consumers of the online games are Mainland Chinese; that’s created a demand for Chinese workers to run the operations from the Philippines. By one estimate, the industry may employ more than 300,000 workers.
One POGO operator, the Oriental Group is building hubs in Cavite City and Clark City, according to Andrea Domingo, head of the state-run Philippine Amusement and Gaming Corp. PAGCOR has created an incentive for those operating in hubs; they will receive five-year gaming licenses instead of the three-year terms offered to others.
Oriental will spend PHP8 billion (US$156.5 million) for the 20-hectare (50-acre) POGO City in Cavite. When complete, it will be able to accommodate 20,000 workers, said General Manager Kevin Wong. The hub in Clark, already complete, is about half the size and will host 5,000 employees at full capacity.
According to Bloomberg News, PAGCOR has set a PHP8 billion target for POGO revenue this year, up from PHP7.37 billion last year.
“I hope we don’t overtax them so we don’t lose the good,” Domingo said. According to her, the Philippines have a serious rival in Cambodia, where it’s less expensive to operate.
Oriental Group’s hubs will house offices, residences and government agencies that serve POGO workers.
Senator Leila M. de Lima is less enthusiastic about the plan. Calling the Cavite hub “POGO Island,” she added, “This could be the start of a possible colonization if Chinese companies decide to purchase and occupy more lands in different parts of the country. We are making business more comfortable and easier for the operators by now licensing POGO hubs.”
But Domingo couldn’t be more pleased. “POGO is legal and here to say,” she said.
