THE 2010 FOREIGN ACCOUNT TAX COMPLIANCE Act represents a significant initiative by the United States to tackle offshore tax evasion. But it has not been popular with Chinese authorities, especially the banking sector, in part because it was considered an extra burden.

Why should it obligate itself to do such a favor to the US without getting anything in return?

Thus reports that the Chinese and US authorities are getting closer to signing an agreement on the FATCA that will facilitate the fight against corruption in this country is welcome news.