Iceland's prime minister resigned on Tuesday, becoming the first political victim of a mushrooming global scandal over hidden offshore financial dealings exposed in the so-called Panama Papers. Prime Minister Sigmundur David Gunnlaugsson was the biggest casualty of a worldwide media probe into 11.5 million leaked documents that purportedly reveal the offshore financial activities of 140 political figures. "The prime minister told (his party's) parliamentary group meeting that he would step down as prime minister and I will take over," the Progressive Party's deputy leader Sigurdur Ingi Johannsson told a live broadcast.

Panama has pledged to investigate the revelations, but France's Finance Minister Michel Sapin said his country would put it back on its list of countries that do not cooperate in tracking down tax dodgers. Minister for the presidency, Alvaro Alema, reacted angrily, threatening "retaliation measures against countries that include Panama in 'grey lists'" of tax havens.

Beijing has refused to respond to allegations eight current or former members of the ruling party's most powerful body concealed their fortunes through offshore havens, as well as relatives of Xi, who has overseen a much-publicised anti-corruption drive.

Pakistani Prime Minister Nawaz Sharif, three of whose children was also named in the papers, said he would form a commission to investigate "how much weight these allegations should be given".

The Kremlin on Monday suggested a US plot was behind the leaks, which named a close friend of Putin's as heading an offshore empire worth more than $2 billion.

Messi's family denied any wrongdoing after the footballer and his father were named as owners of a Panama company that was not disclosed during a Spanish tax probe.