US transport officials said in a letter Indonesia's aviation sector had met international standards and its safety rating had accordingly been upgraded.
"Today all Indonesian airlines can fly to the United States," director general of civil aviation, Suprasetyo, told reporters.
"This will have a very positive impact on our aviation sector and public trust."
Indonesian carriers were banned from flying to the US in 2007 after the Federal Aviation Administration downgraded their safety rating.
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The restrictions followed a series of accidents including fatal crashes by state-owned Garuda.
Crashes have continued since 2007, including the loss of 162 lives aboard an AirAsia flight in late 2014.
But in a letter to the transport ministry, the FAA said Indonesia's efforts to improve its oversight system had resulted in "positive findings" during a safety assessment earlier this year.
Suprasetyo, who goes by one name, said several Indonesian airlines had expressed interest in flying to the US, but Garuda already had enough planes and crew to begin services.
Garuda in April ordered 14 new-generation Airbus planes for USD 4 billion.
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