Bharatiya Janata Party (BJP) leader Subramanian Swamy on Friday said China was now ready to `favourably act` on terrorist Masood Azhar in the United Nations.

On Thursday, China had said it was in "close" contact with India over its efforts to put Masood Azhar on the UN list of proscribed terrorists.

Swamy informed about the development on Twitter today.

China's yesterday statement was in response to Indian President Pranab Mukherjee's remarks to state-run CCTV channel saying that Beijing joining hands with New Delhi in the fight against terrorism will have "its own impact".

Ahead of his State visit to China scheduled to take place between May 24 and 27, Mukherjee said, "India and China - both huge countries - multi-cultural, multi-racial - if they come together in fighting this menace, I am sure it will have its own impact.”

"And India always believes that every country should have a zero-tolerance policy towards terrorism and the fight is to be all out."

His comments assumed significance as it come against the backdrop of China recently blocking India's bid to put Masood Azhar on the UN list of proscribed terrorists, a move that has become a major irritant in Sino-India relations.

On Azhar's ban issue, Chinese Foreign Ministry spokesman Hong Lei told reporters yesterday that China is in "close contact with India".

India has publicly highlighted its disappointment to China over the issue.

India's reservations were conveyed by External Affairs Minister Sushma Swaraj, Defence Minister Manohar Parrikar and National Security Advisor Ajit Doval during their recent interactions with their Chinese counterparts.

The issue was expected to figure in Mukherjee's talks with his Chinese counterpart Xi Jinping scheduled on May 26.

The UN had banned JeM in 2001 but India's efforts to ban Azhar after the Mumbai terror attack also did not fructify as China, one of the five permanent members of the UNSC, did not allow the ban apparently at the behest of Pakistan.

The US State Treasury department had designated him as Special Designated Global Terrorist in