The Philippines has decided to close 175 offshore casinos and deport nearly 40,000 Chinese workers.
British news agency Reuters quoted Philippine Justice Ministry officials as saying on Monday that it was part of a crackdown on the country's notorious online gambling industry.
The industry emerged in the Philippines in 2016 and investment in it has grown exponentially.
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At its peak, the industry employed more than three hundred thousand workers in the Philippines.
After the Corona epidemic and high tax rate, people associated with offshore gambling houses or 'Pogo' shifted their business to other countries.
"The crackdown was triggered by reports of murders, kidnappings and other crimes committed by Chinese nationals against fellow Chinese nationals," Justice Ministry spokesman Jose Dominic Clavano said.
According to the spokesman, the closed casinos did not have licenses or had expired. The licenses of some were canceled by the government. The process to deport the Chinese workers will start next month.
According to the Ministry of Finance, the government received 122 million US dollars in 2020 and 4 billion in local currency last year in fees from these casinos.
Economists estimate that the industry spends a lot of money on taxes, labor costs and office rent.
China's embassy in Manila said in a statement that Beijing supports a crackdown on deportations and crimes against 'pogo'.
The embassy statement added that the Chinese government supports strict measures to combat gambling.
According to property analysts, a complete ban on gambling will leave thousands of offices vacant in the Philippines.
