"Security conditions are remarkably improved, 95 percent of the Burundian territory is now in peace," government spokesman Karenga Ramadhani told Reuters on Saturday, confirming the decision to lift the curfew in place since 1993.

Former rebel leader Pierre Nkurunziza won Burundi's presidency last year in polls that were the culmination of a U.N.-backed plan to end 12 years of conflict between Hutus and Tutsis.

One rebel group, the Hutu Forces for National Liberation (FNL), remains active, but is due to hold peace talks with government officials in Tanzania in coming days.

Nkurunziza's cabinet gave the order to lift the curfew for Burundi's 7 million residents at a meeting on Thursday.

Burundians were delighted with the decision, particularly those who want to work during the night.

"I am happy because the curfew limited our time of work," said Gustave Ngarambe, a taxi-driver in the capital Bujumbura.

"Now I can earn more."

Some, however, also expressed concern that the lifting of the curfew may encourage crime. They urged the government to step up police patrols at night.

Government spokesman Ramadhani said another factor motivating the curfew decision was the need attract foreign investors "still hesitating to come to Burundi."

War has shattered the local economy, with many surviving on as little as 25 cents a day.