by Coco Jiang and Biodun Iginla, BBC News, Pyongyang. Coco Jiang is working undercover in Pyongyang.
North Korea will send a delegation to the 2018 Winter Olympic Games, taking place in South Korea in February.
North Korea has said that its delegation will include athletes and supporters, amongst others.
The breakthrough announcement came as the countries met for their first high-level talks in more than two years.
South Korea had said they would use the talks to raise ways to improve inter-Korean relations.
"The North side proposed dispatching a high-level delegation, National Olympic Committee delegation, athletes, supporters, art performers, observers, a taekwondo demonstration team and journalists" to the Games, Seoul's vice unification minster Chun Hae-Sung told journalists, according to AFP.
Ties between both Koreas have become increasingly tense since the last talks in 2015.
Relations broke down after Seoul suspended a joint economic project at the Kaesong Industrial complex in North Korea following a rocket launch and nuclear test by the North.
The incident led to North Korea ending all communication with Seoul, including cutting off telephone lines.
Tensions have risen in the years since, as the North continues to rapidly advance its banned nuclear weapons programme.
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