China Economy Faces Challenges as Visa Losses Impact Chinese Overseas Workers

Wednesday, 4 September 2024, 23:00

China economy is set to face significant changes as tens of thousands of Chinese citizens in the Philippines risk losing their work visas due to a crackdown on offshore gambling. With the Philippine government calling for voluntary cancellations of work visas by mid-October, the future of Chinese workers in this industry hangs in the balance. The tensions between Beijing and Manila regarding the gambling industry have spurred this drastic measure.
South China Morning Post
China Economy Faces Challenges as Visa Losses Impact Chinese Overseas Workers

China Economy Under Pressure as Visa Restrictions Intensify

Tens of thousands of Chinese citizens in the Philippines to help run offshore gambling services stand to lose their work visas by mid-October, as the Southeast Asian country looks to uproot the industry by year’s end under growing scrutiny from both Beijing and Manila.

Foreign nationals who work for Philippine Offshore Gaming Operators (Pogos) were told to cancel their work visas voluntarily by October. Otherwise, Manila is set to do so for any foreigners enmeshed in such operations, according to a Tuesday report by Philippine digital media firm Rappler.

Impact on Chinese Workers and Concerns Over Crime

Analysts said many – if not most – visa holders working for Pogos come from China and work alongside Filipinos as well as citizens of third countries. More than 300,000 Chinese workers were employed by Pogos at the industry’s height, but official estimates put the number of those legally employed in the sector this year closer to half that amount.

  • Chinese and Philippine officials frown on the operations due to the suspected criminal acts they engender.
  • Both countries are concerned about the dark side of online gambling.

Citizens who stand to lose their Philippine visas are likely providing capital, offering technical expertise or tracking people down to collect gambling debts, according to Victor Gao, vice-president of the Beijing-based think tank Centre for China and Globalisation.

The Philippine Amusement and Gaming Corporation indicated that the country would wind down offshore gaming firms by 2024, further complicating the situation for Chinese visa holders.

Broader Implications and Future Directions

The crackdown comes amid ongoing tensions regarding the South China Sea disputes. The Chinese government is committed to tackling overseas gambling operations that could affect its citizens negatively.

  • China has urged the Philippines to nix these operations, signaling a shift in diplomatic relations based on mutual interests.
  • Chinese workers losing their visas may seek opportunities in other Southeast Asian nations.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.

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