The bill, likely to be adopted by the Congress later this week, will allow Clinton, if he so desired, to waive restrictions on Exim Bank and other loans, which are as much in the US interest as in that of India and Pakistan.

The White House has sought authority to waive economic sanctions on the two countries for one year, hoping an engagement meanwhile would bring greater US leverage in the sub-continent.

Commenting on the move, Democratic Senator Tom Harkin said the US ``has come close, very close'' to getting India and Pakistan to sign a test ban treaty and a missile control regime. ``This gives the (Clinton) administration the tools to accomplish this,'' Harkin added.

Negotiators said thebill would not go to a floor vote until they resolved a dispute over US approval of a so-called abortion pill attached to the bill.

The move comes in the backdrop of willingness indicated by India and Pakistan last week to sign the CTBT. While New Delhi wanted its `conditions' met, Islamabad linked its signing of CTBT to lifting of sanctions.