Israeli Prime Minister Ehud Olmert's cabinet approved the move in principle and a ministerial panel finalized the roster. The first releases could begin in 48 hours, officials said.
Olmert's proposal to release Palestinian prisoners for the Muslim fast month of Ramadan had been delayed for two weeks after a series of rocket attacks from the Gaza Strip cast doubt on whether he could persuade his cabinet to back the move.
The Israeli government had been expected to release more than 100 Palestinian prisoners. Asked about the lower final figure, political sources said several prisoners had not met criteria set by Israel's security services.
" The idea of releasing prisoners is specifically to bolster the moderates," said Olmert spokeswoman Miri Eisin. " We hope to see additional gestures in the future."
Israel has agreed to a Palestinian request to allow the deployment of 500 Palestinian police officers within the West Bank city of Nablus to enforce law and order during daylight hours, Israeli defense officials said.
Western diplomats said the decision could lay the groundwork for Israel to give greater security control to the Palestinians in larger parts of the West Bank. The Israeli army would still be able to carry out operations in Nablus, officials said.
Olmert faces growing resistance from within his coalition government to taking more sweeping steps to bolster Abbas in his power struggle with Hamas, which seized the Gaza Strip in June.
Reuters