The multiple Olympic medallist had sought "an urgent ruling" from the Lausanne-based body against his doping ban by July 8 -- the deadline for South Korea to select their Rio swimming team.
"We will include Park Tae-Hwan in the list of national athletes who will take part in the Rio Olympics", Korean Olympic Committee (KOC) Secretary General Cho Young-Ho was quoted as saying by Yonhap news agency.
The ban lapsed in April, but Park remained barred from the 2016 Olympics under a KOC rule which prohibits athletes from representing the country for three years after a doping ban expires.
CAS ruled Friday that KOC's extended ban constituted a double jeopardy for Park and should be nullified, according to KOC.
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South Korea's Olympic committee had said earlier today it would abide by the CAS ruling.
Park -- once the poster boy of South Korean swimming before the doping scandal -- has repeatedly begged for a chance to compete in what would be his third, and probably last, Olympics.