North Korea has accepted the South's offer of talks next week, according to Seoul's Unification ministry, which oversees relations with Pyongyang.
The meeting will take place on Tuesday in Panmunjom, the truce village in the heavily-fortified Demilitarised Zone that divides the peninsula.
Tension has been high after the North carried out multiple missile launches in 2017 and its sixth atomic test, which was by far its most powerful.
The tentative rapprochement comes after the North's leader, Kim Jong-Un, warned in his New Year speech that he had a nuclear button on his desk.
However, at the same time he offered Seoul an olive branch, saying Pyongyang could send a team to next month's Winter Olympics in the South.
Seoul responded with an offer of talks between the two, and earlier this week the hotline between them was restored after being suspended for almost two years.
Late last night, the South's president Moon Jae-In and his US counterpart Donald Trump agreed to delay joint military drills, which always infuriate the North, until after the Winter Olympics in Pyeongchang, which begin on 9 February.
A unification ministry official said that the North faxed a message to Seoul saying it accepted the proposal for talks on Tuesday.
Ministry spokesman Baek Tae-Hyun told journalists that the agenda would include the Pyeongchang Olympics "and the issue of improving inter-Korean relations".