Kosovo police (left) at the border checkpoint between Serbia and Kosovo
The development comes after weeks of rising bilateral tensions, with violence in northern Kosovo seeing more than 30 members of the North Atlantic Treaty Organization (NATO) peacekeeping force injured in late May.
Kosovo leader Albin Kurti confirmed the information from Serbia. A Serbian court today ruled that all three were indicted, but their sentences had expired.
Following the release order, the police group entered Kosovo through the border checkpoint in Merdare at noon on June 26 (local time). Previously, the arrest of the three policemen had sparked a war of words between the Kosovo and Serbian governments.
Pristina authorities accused Serbia of kidnapping them, but Belgrade accused the three of entering the country illegally and resulting in their detention by authorities.
Kosovo authorities are launching a crackdown on smuggling along its northern border, accusing Serbia of using organized gangs and black market dealings to manipulate the northern part of Kosovo, which has a large Serbian community.
Mr Kurti accused Serbia of "kidnapping" three policemen in "revenge" for his government's arrest of a Serbian paramilitary leader in Kosovo in June. Serbia denied the accusation.
Bilateral tensions spiked after Pristina decided in May to appoint ethnic Albanian mayors in four Serb-majority municipalities.
France, Germany and the United States have urged Pristina and Belgrade to de-escalate tensions. The European Union (EU) held mediation talks last week, chaired by its foreign policy chief Josep Borrell. But the meetings failed to produce any breakthroughs.
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