FRANCE has raised a warning flag to Panama, whose current regulations regarding exchange of tax information are not satisfactory, said French Minister of Finance Michel Sapin on Monday, December 21.

The statement came with the announcement that France had removed the British Virgin Islands(BVI) and Montserrat from its list of tax havens

"In 2016, France will be very attentive to the evolution of trade with Panama. Cooperation in inquiries is currently unsatisfactory," the finance minister said. Therefore, Paris will monitor "the effective implementation of the country's commitments to cooperation made last October at the World Forum."

"France will draw conclusions, during 2016, on the evolution of the practices of Panama," said Sapin, who praised the turnarounds in the BVI and Montserrat.

France believes that the BVI has responded "to almost all demands" on the exchange of tax information, while Montserrat is now governed by the standards of tax information issued by the Organization for Economic Cooperation and Development (OECD).

The list of non-cooperative states or territories includes Botswana, Brunei, Guatemala, Marshall Islands, Nauru and Niue.