Senator Terry Le Sueur (pictured) signed the TIEA with the French minister of finance, Christine Lagarde.

Senator Le Sueur says: 'These agreements to co-operate over tax matters highlight the mutual respect between jurisdictions. Our continuing programme of signing agreements with jurisdictions across the globe demonstrates our willingness to comply with international standards of financial regulation, anti-money laundering, and combating the financing of terrorism.

'As France has said, the signing of the TIEA allows both parties to realise their shared intention to implement the principles advocated by the OECD and to have, in the future, an effective instrument for fighting international tax fraud and evasion.

'Last year the OECD Secretary General referred to the fact that Jersey has signed a number of Tax Information Exchange Agreements, and called for clear political recognition for those offshore financial centres that have made this kind of progress. We hope to see this reflected in the outcome of the G20 Summit in London on 2 April and that there will greater pressure put on those countries, including some OECD members, who have not yet shared Jersey's commitment to transparency and co-operation.'

Jersey is close to signing a TIEA with Ireland and negotiations are well-advanced with Australia and New Zealand. Discussions are also underway with Spain and Italy and Jersey is more than willing to extend such agreements to all other jurisdictions, including OECD countries, when they are ready to engage.

The TIEA with France will come into force when both parties have completed their domestic procedures. In the case of Jersey this is expected to take three months but for France it is understood a somewhat longer period will be required.

Once the TIEA is implemented Jersey will be treated by France as a territory which has signed an administrative assistance agreement to fight tax fraud and evasion.

Jersey has already signed agreements with the US (2002); the Netherlands (2007); the seven Nordic countries (Denmark, the Faroes, Finland, Greenland, Iceland, Norway and Sweden in 2008); Germany (2008); and the UK (2009).