Passengers arrive at Sydney International Airport in Sydney on Monday. AP

Australia opens its international borders to all vaccinated tourists, nearly two years after the island nation first imposed some of the world's strictest Covid-19 travel restrictions on Monday.

More than 50 international flights will reach the country through the day, including 27 touching down in Sydney, its largest city, as the tourism and hospitality sectors look to rebuild after getting hammered by COVID-19 restrictions.

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"It is a very exciting day, one that I have been looking forward to for a long time, from the day that I first shut that border right at the start of the pandemic," Prime Minister Scott Morrison told reporters in the island state of Tasmania, which relies heavily on tourism.

A mascot welcomes passengers upon arrival at the Sydney International Airport on Monday. AFP

The country closed its borders to almost everyone except citizens and residents in March 2020 in an attempt to slow surging Covid-19 case numbers.

The travel ban — which also barred citizens from going overseas without an exemption and imposed a strict cap on international arrivals — earned the country the nickname "Fortress Australia".

There were jubilant scenes at the country's two major international airports in Sydney and Melbourne Monday as family and friends finally embraced at arrivals after years apart.

International passengers arrive at Melbourne Airport in Melbourne, Australia, on Monday. Reuters

Bernie Edmonds was emotional as he hugged his eight-year-old granddaughter, Charlotte, who had just landed in Sydney.

"It's great to have her back," he said. "She's got to go again but we'll get her back again."

After being away from loved ones for months there were many emotional reunions, including for Cindy Moss who travelled from the US state of Kentucky to see her daughter.

"I just haven't seen her in so long and it was such a big thing to be able to get over here. So I'm so excited," she said after hugging her daughter, her voice cracking with emotion.

Rudolf and Julianna Nemeth from Hungary reunite with their granddaughter Lili in Brisbane, Australia. Reuters

Once a champion of COVID-suppression strategy, Australia shifted away from its fortress-style controls and relentless lockdowns since late last year and began living with the virus after reaching higher vaccination levels. Skilled migrants, international students and backpackers have been allowed to fly into Australia since November in a staggered reopening exercise.

Passengers flying to Sydney were greeted from the air with "Welcome Back World!" painted on a sign near the runways while people in kangaroo costumes welcomed travellers and a DJ played music from a van festooned with a banner saying "You were worth the wait".

"It is a party out here, music playing, smiles on people's faces, they will be dancing soon, I'm sure," Tourism Minister Dan Tehan told broadcaster ABC from Sydney airport as he gave travellers gift jars of Vegemite, an iconic Australian food spread, and stuffed koala toys.