Finance Minister Paula Cox signed Bermuda's Tax Information Exchange Agreement (TIEA) with Canada at a ceremony at Camden yesterday.

Joined by the Canadian Consul General Daniel Sullivan, and watched by local dignitaries, Ms Cox hailed the agreement with a "true friend" of the Island.

"Bermuda and Canada have enjoyed a strong and fulsome relationship over the past 150 years, covering a wide range of interests," said the Minister, after signing the agreement.

"Currently, there are 1,145 entities with Canadian interest, and this number is expected to grow exponentially."

The treaty, agreed after negotiations in Bermuda last April, was praised by Mr. Sullivan as "evidence of the strong relationship that exists between our two countries".

The Consul General said he expected the treaty to make "Bermuda a more attractive destination for Canadian investment".

As a result of the treaty, Canadian authorities will exempt from taxation dividends paid to Canadian companies from income earned by Bermuda affiliates.

The ceremony yesterday brought Bermuda's number of signed TIEAs to 22.

The Ministry also announced yesterday that it had agreed terms for a TIEA with Indonesia, days after a similar deal was struck with the government of Brazil.