The funding forms part of PAGCOR’s two-year plan to build 125 school buildings, or about 1,500 classrooms, to help address the country’s classroom backlog in partnership with the Department of Education (DepEd).

To formalize the initiative, PAGCOR signed a memorandum of agreement (MOA) with DepEd and representatives of the initial batch of 25 beneficiary local government units or LGUs.

PAGCOR Chairman and CEO Alejandro H. Tengco said funds for the project totaling more than Php8 billion have already been earmarked, hence its implementation is assured. “Our commitment to the President (Ferdinand Marcos Jr.) is that all classrooms will be completed not later than 2027,” he said.

To ensure transparency and proper implementation, the funds will be released to the LGUs in three tranches based on construction progress and compliance with project standards.

The first batch of recipients includes LGUs in La Union, Pangasinan, Pampanga, Tarlac, Bulacan, Zambales, Batangas and Cavite, as well as those in Mindoro, Marinduque, Romblon, Albay, Camarines Sur, Antique, Samar, Davao Oriental, South Cotabato, Lanao del Sur and Sulu.

Each local government unit will receive about Php55 million for the construction of a three-story school building with 12 classrooms that are equipped with chairs, tables, PWD-friendly facilities, electric fans, microphones, a 75-inch smart TV, and a one-year free internet subscription.

Mr. Tengco said the program aims to improve learning conditions particularly in areas where students continue to endure overcrowded classrooms, irregular schedules and makeshift learning spaces.

“We have learned that the country has an estimated 165,000 classroom shortage, which is a daunting challenge for any administration,” he said.

Mr. Tengco also announced a new initiative that will require PAGCOR’s online gaming licensees to allocate a portion of their gross gaming revenues to socio-civic programs, including the repair and rehabilitation of public school buildings nationwide.

Education Secretary Sonny Angara welcomed the partnership and said that the school building project brings renewed hope to the education sector despite ongoing challenges.

“May pag-asa tayo kahit mahirap ang trabaho natin sa DepEd at maraming kailangang punuan,” he said. “We thank PAGCOR for its continued support to the education sector,” he said. “These classrooms are not just physical structures; they are places where dreams can become reality for millions of young Filipinos.”