Rana was among the seven players who were banned or fined by the PCB after a disastrous tour to Australia earlier this year, on the grounds of misconduct and indiscipline. The other six had already been pardoned, their bans lifted and fines reduced.
"It is a great relief to finally be cleared of this ban and now I just want to focus on cricket," Naved told reporters in Lahore after a hearing of the appellate tribunal of the board.
Naved, 32, said he was always confident he would be cleared and now his main aim would be to make a comeback to the national team.
"These punishments were a dark chapter of my cricket career and I want to get over it and from tomorrow I will play domestic cricket and show my form," he said.
The appellate tribunal also reduced a fine of two million rupees ($23,242) to half that amount.
Talib Rizvi, legal advisor to the PCB, said appeals judge Irfan Qadir had lifted the ban as Naved had apologized for his conduct and served six months of the suspension.
"He is now free to be considered for national selection," Rizvi said.
Rana is scheduled to take part in the PCB's Twenty20 domestic tournament for reigning champions Sialkot Stallions from Sunday. If he is not part of Pakistan's winter plans, which include a tour to New Zealand, he will turn out for Tasmania in the Big Bash as he did last season.
Rana has played nine Tests and 74 ODIs for Pakistan.
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