Inside Asian Gaming

inside asian gaming April 2015 18 Insights Was the decision regarding income-tax an example of that? We respected the contract. We are responsible for fulfilling the contract. The matter of the tax is still being adjudicated by our Supreme Court. [After this interview, the court ruled in favor of Pagcor’s exemption, but was silent on the licensees’ obligations.] Our decision made us a whipping boy for the media. But it was in the best interests of all involved. Many international companies—Caesars, when it expressed interest in building a resort in Manila, for example—have said they have confidence in the Philippines as a place to invest and do business because of President Benigno Aquino. But his term will end next year. Do you think that business confidence in the Philippines can survive the change in administration? Definitely. For Pagcor, and I’m confident for other agencies as well, a lot of nation- building measures have been put into place. A lot of changes have been made in the way the government operates. I’m sure everyone will follow what President Aquino’s administration is doing. There have been a lot of good people joining the government and changes in the way the government operates. It’s hard to break that chain of positive developments. I think it will continue under the next president. With the expansion of licensed casinos in Entertainment City, Pagcor has already closed two of its casinos in Metro Manila. Do you foresee further closures? More broadly, what role is there for Pagcor casinos in a Metro Manila market with five integrated resorts? In Macau, small casinos continue to operate even though they have huge resorts. There continues to be a place for smaller casinos. We think that will be the case here as well. We’re more focused outside of Entertainment City. That area is for the licensees, and they have their customers. We see Pagcor staying in Metro Manila. We will continue to monitor the situation. We see having some small operations, maybe. Pagcor is still viable, very viable, especially if you look at our operations in the provinces. It’s not competition for Entertainment City. That’s not our role. Do you favor splitting Pagcor’s casino operations and its regulatory function? Until Congress changes our mandate, we will continue as a regulator and an operator. It’s a mandate that the agency has to follow. If the Congress says that Pagcor should just be a regulator and separate or sell our casinos, then we will follow that mandate. But they need to make that decision. It’s not up to Pagcor. If Pagcor was split into a regulator and an operator, which half would you rather be chairman of? If Pagcor was split, I’d rather not work for Pagcor anymore. I’d like to go back to an ordinary life. I think I did my part. We have 100 million people in the Philippines; let one of them take their turn. “For visitors, we have so much to offer in the Philippines. We have historical sights in the Philippines, we have beautiful beaches. As the advertisement says, ‘It’s more fun in the Philippines.’” The Philippines has a vibrant slots market.