Federal health department data released on Friday showed an almost 27 per cent decrease in average daily infections in the week to January 24 compared to the previous week.
The number of average daily cases was 3168, continuing a downward trend since late December.
COVID-19 hospitalisations and intensive care admissions were also down, with drops of 16.9 per cent and 26.2 per cent respectively in the week to January 24 compared to the previous week.
COVID-related deaths decreased from 131 to 94 in NSW and from 156 to 149 in Victoria.
Australia's medical regulator announced earlier this week it had given a provisional green light to the first COVID-19 booster shot for two Omicron variants.
The Pfizer jab, which targets the BA.4 and BA.5 variants, will be available to those aged 12 and over.
The rollout of the vaccine is yet to be ticked off, with the Australian Technical Advisory Group on Immunisation due to provide advice to the government in coming weeks.
WEEKLY VIRUS DATA BY JURISDICTION:
* NSW: 7653 cases, 94 deaths
* Victoria: 3446 cases, 149 deaths
* Queensland: 4908 cases, 69 deaths
* SA: 1494 cases, 14 deaths
* Northern Territory: 185 cases, no deaths
* Tasmania: 462 cases, four deaths
* Western Australia: 2727 cases, 36 deaths