Paving the way for formation of a popular government in Meghalaya, the Centre tonight decided to revoke the President's rule imposed in the state nearly two months back.
The decision was taken at a meeting of the Union Cabinet presided by Prime Minister Manmohan Singh, sources said.
The Cabinet recommended to President Pratibha Patil to lift the President's rule from Meghalaya.
The northeastern state was brought under President's Rule on March 19 after the Donkupar Roy-led Meghalaya Progressive Alliance government won a confidence vote in controversial circumstances.
The 60-member assembly, where Congress has 26 MLAs and NCP 14, had been kept under suspended animation since then.
The Centre's move came after Congress and NCP decided to join hands to provide a "stable government in the interest of the people of the state".
The new coalition government is likely to be headed by veteran Congress leader D D Lapang, a former chief minister.
As per the arrangement between the two parties, Congress will get the post of the Chief Minister and Assembly Speaker and NCP will get Deputy Chief Ministership, sources said.