Paris St-Germain have signed £160m-rated forward Kylian Mbappe on a season-long loan from Monaco.

The loan agreement includes an option for PSG to sign the France international on a permanent deal until June 2022.

Any deal for the 18-year-old is likely to be eclipsed only by the 222m euros (£200m) PSG paid for Neymar.

"I really wanted to be a part of the club's project, which is one of the most ambitious in Europe," said Mbappe.

The delay in signing Mbappe permanently is reported to be so PSG can comply with Uefa's Financial Fair Play rules.

Nasser Al-Khelaifi, president of PSG, added: "It was essential for French football that we keep and help develop such a great talent in our championship.

"Among players of his age, he is without doubt the most promising in the world due to his immense technical, physical and mental qualities.

"Since his emergence at the highest level, he has earned an excellent reputation as a young talent who is very respectful, open, ambitious and already very mature."

Why a loan deal?

The wording in the PSG announcement is key, they can't officially say that it's a loan which will become a permanent deal because if they did then the transfer fee would go on this year's accounts (and give them a big Financial Fair Play problem).

So they've basically said there is an "option" on bringing him in permanently, but they won't say "the loan will become permanent" because if they did then they'd be in FFP bother.

I suspect it may yet come under Uefa scrutiny.