The Taba Crossing, between the borders of Egypt and Israel, returned to full operation, Transporation Minister Merav Michaeli announced on Monday.
The border crossing's opening hours will be extended, with no limit on the number of entry permits.
The reopening of the Taba Crossing comes at the request of Michaeli as demand for entry permits to the Sinai Peninsula skyrocketed.
Travel to Sinai, which is a popular tourist destination for Israelis, was severely restricted in the past year due to the COVID-19 pandemic.
The Transportation Ministry's director-general Michal Frank and Israel's Airports Authority have implemented several steps to slowly reopen the crossing. In recent months, the number of entry permits was significantly raised, processing times were reduced and the secondary market of entry permits was eradicated.
"The Taba Crossing has been the point of entry for hundreds of thousands of Israelis over the years and so we are doing everything possible to ensure that it is as accessible, available, and quick as possible," Michaeli said.
The Transportation Minister also commented on the significance of the crossing's reopening on Israel's relations with Egypt, stating it to be "another step to promote cooperation with Egypt."
"Since taking office, I have pledged to invest in and develop our economic and tourist relations with Egypt," Michaeli said. "It is an important transit point for our Egyptian allies," she added.
In August, Israel's National Security Council lowered the travel alert level of Sinai Peninsula beaches following talks between Prime Minister Naftali Bennett and Egyptian Intelligence head Abbas Kamel.