PAGCOR Caps Online Gaming Cashback Offers

The Philippine Amusement and Gaming Corp has introduced new limits on cashback and rebate offers used by online gaming operators.

Under the May 7 directive, licensed platforms must now keep cashback and rebate offers within set limits. PAGCOR says the goal is to stop bigger operators from using oversized rewards to dominate the market.

The regulator noted that online gaming platforms have been competing heavily through large promotional offers and loyalty programmes. In some cases, matching percentages reached 100% or more, with total reward values exceeding normal industry standards.

The new rules took effect immediately. Cash rebates are now capped at 1.5% of player turnover or deposits for slots, e-bingo, numeric games and sports betting. Operators may also offer up to 15% cashback for e-games based on a player’s net losses.

PAGCOR also clarified how these incentives should be recorded. Cashback and rebate offers cannot be counted as operator losses. Instead, they must be treated as gaming expenses.

The decision is part of a broader push to tighten oversight of the fast-growing iGaming sector. In 2025, online gaming generated more than half of total gaming revenue in the Philippines, overtaking licensed casinos as the largest GGR contributor.

PAGCOR has already introduced stricter measures, including removing gambling ads from billboards and public transport, pre-screening digital promotions, and strengthening KYC checks. Players now need to submit a valid government ID and real-time selfie before making deposits.