The change will apply to fully vaccinated travellers entering Canada from 1 April, who will no longer have to take a PCR test within 72 hours of departure.
The announcement was welcomed by Air Canada, coming in time for the summer season.
"Today’s announcement by the federal government is excellent news for the entire travel and tourism industry, which are important contributors to the Canadian economy,” said the airline’s vice-president, government and community relations, David Rheault.
“Canada now joins other countries around the world in reopening and we look ahead to the summer travel season.