Pakistan's high court has ruled the presidential election can proceed on Saturday, but says a winner can only be declared once the court decides on incumbent Gen. Pervez Musharraf's eligibility to run again.

The Supreme Court said Friday that the results of the vote — by members of the National Assembly, the Senate and the four provincial legislatures — must be withheld until the judges decide whether Musharraf is eligible to seek a third five-year term.

Despite the uncertainty, it seemed Musharraf was willing to pave the way for a reconciliation with former prime minister Benazir Bhutto by officially dropping corruption charges against her.

Reports said Bhutto and Musharraf were negotiating on the prospect of creating a liberal, pro-U.S. alliance.

Railways Minister Sheikh Rashid Ahmed said on Friday the president had signed the National Reconciliation Ordinance, dropping corruption cases dating from between 1986 and 1999.

An official at the presidency, who spoke on condition of anonymity because he was not authorized to comment, said the ordinance had become law, the Associated Press reported.

Bhutto leads the Pakistan People's Party, which is the largest opposition party in the country.

In the meantime, Friday's ruling locks Musharraf in a legal bind with political opposition members, who filed court documents contesting his bid for office. His opponents argue that Musharraf's candidacy is unconstitutional because he holds the dual roles of president and army chief.

Heavily favoured to emerge as the winner on Saturday, Musharraf will instead have to wait at least 11 days before officially knowing whether he was re-elected.

"Pakistan will be in a state of political limbo for quite some time," analyst Talat Masood told AP.

Promise to give up army role if elected

Presiding Justice Javed Iqbal said the hearings will resume on Oct. 17. Although he did not delay the vote, as opposition members requested, he said the official results would only be revealed after the court has ruled on the petitions.

The government said it would respect Friday's decision.

Musharraf has promised to abandon his army post and hand the role to a political ally if he is re-elected, but analysts note they have heard the same promises from him before. He has said he is committed to restoring civilian rule in Pakistan by Nov. 15.

The U.S.-backed leader seized power in a 1999 bloodless coup.

The Election Commission declined to say whether there would be a new election or whether the second-placed candidate would become president if the winner of Saturday's ballot is disqualified.

"This is a very sensitive matter. No comment," said commission secretary Kanwar Dilshad.

Since securing power in 1999, Musharraf has been considered by the U.S. as a key ally in its war against terrorism and the Taliban. His current presidential term expires on Nov. 15.

With files from the Associated Press