The Philippine Government is weighing a proposal that could require all licensed online gambling firms to list on the Philippine Stock Exchange (PSE). This move is aimed at improving transparency to ensure oversight within the sector. The proposal, reported by The Inquirer, is currently under study by the Department of Finance as part of the reforms to tighten control over digital gambling activities.

Finance Secretary Ralph Recto stated that public listings would compel online gambling operators to disclose their financial performance and ownership structures, as required by PSE regulations. This could help identify the individuals and entities behind these platforms, enabling regulators and investors to assess risks more effectively.

Revenue Boost Expected Through Higher Taxes

In addition to stock exchange listings, the government is reviewing a tax policy that may lead to significant new revenue streams. Officials are considering a 10 percent hike in existing levies and fees on online gambling firms. Projections suggest that the increase could generate up to PHP 10 billion annually.

Under the current framework, licensed e-gaming companies are required to remit 30% of their revenue to the Philippine Amusement and Gaming Corporation and pay a 5% franchise tax to the Bureau of Internal Revenue. They also cover additional auditing costs and compliance-related fees.

These proposed tax reforms will be implemented alongside the mandatory listing requirement. So, licensed operators are presented with a dual set of obligations.

Market Reaction Signals Uncertainty

The regulatory momentum has already impacted market sentiment. DigiPlus Interactive Corp, operator of popular platforms such as BingoPlus, ArenaPlus, and GameZone, has expressed public support for tighter regulations. The company highlighted its compliance with know-your-customer procedures, age restrictions, and responsible gaming protocols.

Despite this, DigiPlus recently experienced its sharpest stock drop to date, losing nearly 30% in a single trading day. Since reaching its peak in June, the firm’s value has increased by 70%. Analysts point to policy uncertainty and potentially stricter laws as the main reasons for the sell-off.

Bloomberry Resorts Corp, which recently launched the MegaFUNalo site, also reported a 5.6% decline in share price. Investors appear increasingly cautious as the government signals a more regulated environment for digital gambling.

Reform Momentum Grows Amid Push For Better Regulations

The proposal to ensure PSE listings and increase taxation aligns with other initiatives to regulate the digital gambling ecosystem in the Philippines. Senator Sherwin Gatchalian has just introduced a bill targeting stricter oversight, while the Bangko Sentral ng Pilipinas has proposed limits on the use of electronic wallets for gambling-related transactions.

Overall, these developments indicate a growing consensus among policymakers to impose more accountability on the industry, improve fiscal returns, and address public concerns around gambling risks.