The UAE recorded 779 new coronavirus cases on Tuesday, bringing the country's total to 31,086.
The Ministry of Health and Prevention said a further 325 people had fully recovered from Covid-19, pushing this tally to 15,982.
Officials said five more patients had died after contracting the virus as the death toll in the Emirates rose to 253.
The new infections were detected as a result of an additional 28,000 tests being carried out.
On Monday, it was revealed the UAE had conducted more than two million tests since the outbreak emerged.
A rigorous testing strategy is key to the country's efforts to contain the pandemic as restrictions on movement and business are gradually eased.
From Wednesday, nightly stay-home orders will be pushed back from 8pm to 11pm and be lifted at 6am each morning in Dubai.
Cinemas and gyms will also be allowed to open from this date, as will entertainment centres including ice rinks.
Non-essential medical services, such as routine trips to the dentist, will also be permitted as of Wednesday.
The announcement was made at a meeting of Dubai’s Supreme Committee of Crisis and Disaster Management, chaired by Sheikh Hamdan bin Mohammed, Crown Prince of Dubai.
Despite strict measures being relaxed, authorities have reiterated the need for the public to take precautions to limit the spread of the virus.
At a regular media briefing on Monday evening, the UAE's health minister admitted daily life had been changed greatly by a virus which has swept across the globe.
“There is a new reality that has been imposed on us in the way we treat each other and communicate, even within the same family,” said Abdulrahman Al Owais.
“It is a different Eid for all the families who had to stay home and avoid gatherings.
"It’s been different for doctors and volunteers, paramedics, nurses, sterilisation teams ... all are heroes.
"Our frontline healthcare providers are spending Eid at hospitals across the country, caring for Covid-19 patients and testing hundreds of cases.
"We highly appreciate their relentless efforts."