A ban on travelling more than 100km (60 miles) has also been relaxed, but the bar on gatherings of more than 10 people remains.
"Freedom will become the rule, bans the exception," Mr Philippe said.
More than 28,000 people have died of the virus in France.
On Wednesday the death toll rose by less than 100 for the seventh day in a row.
France will look to reopen borders with other European countries on 15 June, he said.
The capital is now designated as an "orange" zone on the country's coronavirus risk map, Mr Philippe said. Almost all other French regions have "green" status, meaning they are more free of the virus.
It means the easing of restrictions in the Paris region would be more careful, Mr Philippe said.
As a result, eating and drinking establishments in the city will only be able to serve customers on outside terraces.
However, the city's parks will reopen, he said, a longstanding demand of the city's mayor Anne Hidalgo and many residents.
Museums and monuments in Paris and the rest of the country would also reopen from 2 June, the government said.
Paris's Orly airport will resume operations on 26 June, its operating company said.