Australia's Prime Minister Scott Morrison reacting during a press conference at Australia's Parliament House in Canberra on March 22, 2021. Photo: VCG

Australian Prime Minister Scott Morrison has declared that interstate travel will return to normal in the country by the end of 2021 despite current COVID-19 outbreaks and lockdowns in major cities.

Morrison on Sunday promised that domestic borders will be open and Australians will be allowed to gather in large numbers for Christmas on December 25. Australia has abandoned the COVID-zero approach to the pandemic amid outbreaks in Sydney, Melbourne and Canberra that have plunged about half of the population into strict lockdowns.

"Holding onto COVID zero will only hold Australians back as the world moves forward," Morrison told News Corp Australia.

Federal, state and territory governments have agreed to open borders and ease restrictions when 70-80 percent of adults are fully vaccinated against COVID-19. At the current rate of vaccination, Australia may hit those milestones within 2021, according to local media.

"Everyone can make plans for a family Christmas, with all our loved ones at the dinner table," Morrison said.

"Nobody wants COVID[-19] to be the virus that stole Christmas, and we have a plan and the vaccinations available to ensure that's not the case."

His optimistic comments came as Australia reported 1,683 new locally acquired cases of COVID-19 on Sunday morning, the second most after a record of more than 1,700 new local cases were reported on Saturday.

Of the new cases, 1,485 were from New South Wales (NSW), Australia's most populous state with Sydney as the capital city, where the state health department also recorded three deaths on Sunday morning.

"There have been 126 COVID-19 related deaths in NSW since June 16, 2021," said the statement from NSW Health.

The Australian Capital Territory (ACT) reported another 15 new cases, down from a record-high of 32 on Saturday.