Georgia announced today it would lift its state of emergency this Friday in a move that may temper Western concerns it has backtracked on its commmitment to democracy.
The United States and European Union had told Georgian President Mikhail Saakashvili to end the emergency rule he imposed last week after police crushed street protests and raided an opposition television station.
"I am authorised to declare on behalf of the Georgian government that emergency rule will be lifted on November 16th on all the country's territory," Parliament Speaker Nino Burjanadze told a news briefing.
Pro-Western Mr Saakashvili, who advocates membership of Nato and the European Union, faces the worst political crisis since a bloodless uprising bore him to power in 2003. The opposition is largely pr-Western like Mr Saakashvili but accuses him of betraying reformist and democratic principles of that "Rose Revolution".
Facing a barrage of Western complaints that he was cracking down on democratic freedoms, Mr Saakashvili last week set a snap presidential election for January 5th in a move aimed at defusing the tension with the opposition.
He had accused Russia of fomenting unrest in his Caucasus nation of five million where two rebel pro-Moscow regions have proclaimed independence. Russia dismissed the allegation.
Several opposition leaders, including flamboyant multi-millionaire Badri Patarkatsishvili, are expected to challenge Mr Saakashvili in the election.
Mr Patarkatsishvili owns 51 per cent in independent television station Imedi, which had been providing a platform for opposition leaders before the station went off the air last week after being stormed by police.
US media giant News Corp controls Imedi after Patarkatsishvili gave them management of his stake.
Imedi's equipment was seized and its broadcasting licence suspended on the grounds Mr Patarkatsishvili is under investigation for plotting a Russian-backed coup, Martin Pompadur, chairman of News Corp Europe, said in a statement.
"To accuse Imedi is to accuse News Corp," he said. "To allege that News Corp is involved in a Russian-backed coup in Georgia is beyond ludicrous."