The military-backed government in Bangladesh has lifted a curfew imposed in six major cities last Wednesday following days of student riots.
The army withdrew troops from Dhaka University campus
A Home Ministry statement said the decision had been taken because the law and order situation had improved.
Student unrest began in Dhaka last Monday and quickly spread into protests demanding an end to emergency rule.
The violence posed the most serious challenge to the emergency government since it took power six months ago.
At least one person died and 100 were hurt in last week's violence, prompting the caretaker government to place the capital, Dhaka, and five other major cities under curfew.
Students were ordered off campuses and all universities were closed. A number of senior academics were detained, apparently accused of fomenting unrest.
The demonstrations were held in defiance of a ban imposed under the state of emergency.
The interim government took power in January, when elections were cancelled following months of violence.
The administration initially enjoyed widespread popular support, as it promised to stamp out corruption and to hold elections by the end of 2008.
But discontent has been rising in recent months, most notably over the increasing cost of living.