History
Origins
Even before the Spanish colonization, [1] gambling is said to have already been present in the Philippines. Although there are no exact records when gambling was first practiced in the archipelago, it is possible that some forms were introduced by the Chinese in the late sixteenth century. Due to the proximity of the two countries, many local Chinese would go to the Philippines for business and profit, engaging in different trades and activities. [4] [5] On Magellan’s voyage to the Philippines, it was noted in the accounts of Antonio Pigafetta, that he had already witnessed bets being placed on cockfights when his ship arrived in Palawan in 1521. [1]
Growing popularity
During the Spanish colonial period, gambling became institutionalized in the forms of cockpits, card parlours, billiard halls, and the like. Around the early to mid-19th century, lotteries [6] and horseracing [7] had been introduced. Casinos had also been established at that time. [8] It had then become a problem for the Spanish colonizers; [1] it was noted in the account of Antonio Morga that men in Manila had grown accustomed to gamble for enormous and excessive stakes, [9] and gambling had become prevalent in all sectors of society. Due to its detrimental effects, the colonial government took steps to suppress these activities, but this had little effect and by majority of the 19th century, this had become a national phenomenon. [1]
Cockfighting, in particular, was a favorite pastime in the Philippines. Nearly every village had its own cockpit, and the activity had its own system for how it is to be played, as well as the fees paid, days performed, and others. Visitors in the country would note the amount of care which the roosters were treated, and most visitors would attend a cockpit during their stay. According to the number of arrests made by the police in the late 19th century, it is probable that the presence of cockfighting may have encouraged other forms of gambling. This led to even more edicts, enforcement, and penalties, where the government set certain days and times of the day for it to be allowed. This, however, still proved difficult to control due to its prevalence, and was significantly decriminalized later on when the government opened the country to foreign trade and overseas markets due to the need for internal sources of revenue. This carried on until the American occupation. [1]
Like the Spaniards, the Americans initially tried to ban gambling, but later on, betting was re-introduced around 1912. [10] American insular authorities then decided that gambling cannot be controlled, and it was better to earn funds from this than to prohibit it. [1] Institutionalized gambling for charitable purposes began in the 1930s, where horse racing was allowed for the benefit of the Philippine Athletic Amateur Federation (now the Philippine Olympic Committee), and since then only civic associations were allowed to hold horse races for fundraising. These were controlled by the organization called the National Charity Sweepstakes. Legislation in the country then changed around mid-1930s to institutionalize the sweepstakes in order to raise funds to promote public health and general welfare. National Charity Sweepstakes was then changed to Philippine Charity Sweepstakes Office (PCSO). [6]
After the colonial period, the Philippine government took responsibility in overseeing gambling activities in the country. In 1976, during the Martial Law Era, the Philippine Amusement and Gaming Corporation (PAGCOR) was created by the government to regulate the ten gaming casinos that existed before the pre-EDSA era. The agency aimed for government regulation and centralization of all games of chance under existing franchises or permitted by law. By 1985, the coverage and privileges of PAGCOR were expanded, and the agency and casinos were constantly improved unto the 1990s. Bingo and the lottery had also been developed under PAGCOR. Within the 20th century, PAGCOR experienced both dips and hikes in income growth rate, which mostly depended on the visits of foreign big-time players, but was also largely affected by the Asian financial crisis in 1997. During dips in income growth rate, the agency would increase efforts by branching out to new ventures such as Bingo and Jai Alai. [11]
Since then, various forms of gambling have been introduced and improved, and continues to spread and prevail all over the country. Recently, because President Rodrigo Duterte has initiated to mend the relations between the Philippines and China, Chinese visitors in the country are expected to increase, and this possibly attracts more investments. This puts the Philippines in competition with Macau and Singapore to become a gambling hub that targets Asia's rising middle class. [12]
