Mr. Kouyate was greeted by thousands of cheering supporters Tuesday at the Conakry airport.
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Guinea's President Lansana Conte appointed the new prime minister in a deal to end a general strike led by labor unions that oppose the president.
The strike led to clashes between police and protesters in which more than 100 people were killed.
Reports from Guinea's capital today say the streets are bustling with traffic as people return to work.
Kouyate is a former U.N. diplomat who has worked for several international organizations. Unions had rejected Mr. Conte's previous choice for prime minister, Eugene Camara, who they said was too close to the president.
A Human Rights Watch analyst, Dustin Sharp, says Kouyate's appointment is a tribute to the efforts of Guinea's civil society.
Unions called the strike in January to protest economic hardship and alleged corruption in President Conte's government.
President Conte has ruled Guinea since taking power in a 1984 coup. Critics say the president, a chain-smoker who suffers from diabetes, is no longer fit to rule the West African nation.
Some information for this report was provided by AFP and Reuters.