Reid was convicted along with Michaella McCollum - who was released last month - in 2013
Peruvian authorities have agreed to expel the drugs mule Melissa Reid and she will return to the UK "very soon", according to the British embassy in Peru.
The 22-year-old has been seeking to serve the remainder of her six-year sentence closer to home in Scotland following her conviction for cocaine smuggling in 2013.
Reid and Michaella McCollum were jailed for six years and eight months after admitting trying to smuggle cocaine worth an estimated €1.93m from Peru to Spain.
An embassy spokeswoman said Reid had been "granted expulsion back to the UK", adding that she would be returning "very soon".
McCollum (23), from Co Tyrone, was freed last month under new legislation on early prison release introduced in Peru last year.
She served two years and three months, although it is expected she will need to remain in Peru for some time as part of her parole.
The Scottish Prison Service (SPS) said they had not yet received information of Reid's expulsion, adding they would only be notified if she was set to serve the remainder of her sentence in Scotland.
Reid and McCollum were arrested at Lima airport in August 2013 while attempting to fly to Spain.
They had claimed they were forced into carrying the drugs, but pleaded guilty to charges later that year.
McCollum and Reid faced the prospect of a maximum 15-year prison term but struck a plea bargain to secure a shorter sentence.