Russia is ready to allow air and land transit of US military supplies to the American troops in Afghanistan and an agreement to this effect could be signed during President Barak Obama's visit here next week.

The deal could involve daily flights of US planes over Russia with military cargo, in addition to just railway shipments of non-lethal supplies Moscow currently allows, the Kommersant daily reported on Tuesday quoting sources "close to NATO Secretary General Jaap de Hoop Scheffer".

Such a move will give a boost to Obama's efforts to intensify the campaign against the Taliban at a time when instability in Pakistan has threatened the other main transit route into Afghanistan -- from the south.

At their ministerial meeting on the Greek island of Corfu, NATO and Russia agreed to mend their ties strained over last August's Russia-Georgia war and resume cooperation within the Russia-NATO Council.

"The subject of transit was discussed. If everything goes well, every day around 12 US military transport planes could be flying over your country (Russia) with military cargo," a Western diplomat was quoted as saying by Kommersant.

The transit deal would reflect a significant warming in US-Russian relations since last year.

Kommersant also quoted a Russian diplomat as saying that the US-Afghan transit deal would involve shipment of military supplies by rail.

"We are ready not just to permit passage of cargo, but to guarantee the security of their transport," said the diplomat, who according to Kommersant, was involved in preparations for the agreement.

Relations between Russia and the US sank to their lowest ebb since the Cold War during the previous Bush regime amid Moscow's strong opposition to US plans for a missile defence shield in Europe and Russia's war with Georgia.

The ties, which slightly improved since Obama's inauguration in January, are expected to get a boost when the US President visits Russia on July 6-8.