The first agreement would be with New Zealand, Prime Minister Scott Morrison said.
Other nations that could follow suit are Japan, Singapore, South Korea and Pacific Island nations.
Australia closed its borders in March, early into the pandemic.
To date, it has recorded 27,263 cases and 898 deaths.
It has fared better than other nations but recently saw a second wave in the state of Victoria, forcing Melbourne and its surrounding areas into another lockdown. Infections have fallen dramatically since.