Bundesliga football has been given the green light to resume and schools will gradually reopen in the summer term.
Germany’s 16 federal states, under an agreement with the government, will take control of timing the reopening.
They will operate an “emergency brake” if there is a new surge in infections.
General contact rules involving will continue for another month. A limited resumption has already begun, but this easing of restrictions is far broader.
Two households will be able to meet and eat together under the easing of restrictions, and elderly people in nursing homes and facilities for the disabled will be able to have visits from one specific person.
“I think we can safely state that the very first phase of the pandemic is behind us,” Chancellor Merkel said. “But we need to be very much aware we are still in the early phases and we’ll be in it for the long haul.”
Bavarian leader Markus Söder said Germany was doing better than many other countries because it had adopted a good strategy nationally and regionally and everyone had remained patient. Social distancing of 1.5m (5ft) and hygiene were key to keeping the infection rate low, he said.
Germany has seen fewer than 7,000 deaths in the coronavirus pandemic – a much lower figure than seen in other Western European countries including the UK, Italy, France and Spain.
