WASHINGTON, June 23: The Bush administration has cleared the sale of Patriot Advanced Capability-3 (PAC-3) anti-missile system to India and a deal could be finalized when Indian Defence Minister Pranab Mukherjee arrives here next week, sources have told Dawn.

The US decision is an improvement on its earlier offer to sell PAC-2. Unlike its previous versions, PAC-3 relies on kinetic energy to eliminate short and medium-range missiles carrying nuclear, biological and chemical warheads.