But an election is due on July 18 under a transition administration agreed on by the junta and the civilian opposition in the iron ore-producing northwest African country of 3 million.

The African Union's Peace and Security Committee said the decision to lift the measures against Mauritania was taken at a meeting on Monday, according to Reuters.

It said it would keep watching the situation in Mauritania to make sure it stayed on track and in case other measures needed to be taken, potentially including the re-imposition of sanctions.

Under an agreement that took effect last month, a transition government was set up to allow a presidential election on July 18 in which junta leader Mohamed Ould Abdel Aziz and the opposition will take part.

Mauritania's neighbours were concerned the military takeover could set a precedent in a region that had begun to shed its reputation for coups.

The African Union also imposed sanctions on Guinea after the military took over following the death of the veteran president last December. African countries are concerned Guinea's junta may not keep plans to hold free elections this year.