Bermuda is no longer officially a "tax haven" in the eyes of the international community.

Yesterday the Organisation for Economic Cooperation and Development (OECD) moved Bermuda off its "grey list" after the Island signed its 12th tax information exchange agreement (TIEA) with the Netherlands.

Deputy Premier and Finance Minister Paula Cox signed the TIEA at the Dutch embassy in London yesterday and shortly afterwards, the OECD announced Bermuda had been moved up to its "white list" of countries ranked by tax transparency standards.

After arriving back at LF Wade International Airport last night, clutching the valuable document, Ms Cox said she was proud that the Island had become the first jurisdiction to move up from the grey list — and that she believed it had never belonged there in the first place.

"What we deal in, in terms of international business, is reputation," Ms Cox said. "When people look at Bermuda, I want them to see us in that top tier. I'm glad that we're the first to move from tier two to tier one."

Twelve is the number of TIEAs required for a jurisdiction to be "substantially implementing" international tax transparency standards, according to the OECD.

Minister Cox said the work would continue and three more TIEAs have been negotiated, two of which are likely to be signed within weeks. The move will help Bermuda's competitive edge as a jurisdiction, with rivals such as the Cayman Islands, the British Virgin Islands and Switzerland still on the "grey list".

International business organisations welcomed the news, but stressed that progress needed to continue as the OECD could "raise the bar" in future.

The Opposition United Bermuda Party also welcomed the OECD action, but said the "grey listing" could have been avoided, and blamed a "sluggish approach" by the Finance Ministry.

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