The prime minister said Cabinet will review the Alert Level settings on Monday.
Ardern is yet to outline exactly what Level 1 will look like, but she said it would see the last remaining restrictions on gatherings removed.
She said strict border controls will be maintained.
It comes as New Zealand is on day 20 of Alert Level 2, and day 11 of no new cases of COVID-19.
Ardern said New Zealand is “ahead of schedule”, but urged caution as many other countries have experienced spikes in cases when lockdown restrictions have been eased.
She said her government’s strategy of going hard and early “has paid off”, and the nation is now in the “enviable situation of having choices”.
The prime minister said moving to Level 1 so soon would mean New Zealand is one of the first countries to return to a level of normality so quickly.