First Minister Mark Drakeford also confirmed outdoor use of pubs would be permitted from 13 July.
Businesses should take measures to ensure customers can maintain two-metre social distancing however reductions in some cases would be permitted providing other Covid-secure procedures were in place.
UKHospitality executive director for Wales, David Chapman urged the Welsh Government to bring the date for indoor openings forward so businesses could maximise summer trade.
Vital move
He said: “This is a vital move and one the industry has been desperate to hear. The August period accounts for a substantial portion of annual revenue and the immediate sustainability of many of our businesses will depend on this reopening being successful.
“That being the case, we are asking Welsh Government to consider, if the health climate allows, reopening three days earlier on Friday 31 July to enable a full August of bookings for the sector. We have offered to work with ministers to develop final indoor opening guidelines to ensure a safe enabling of the delivery of either opening date.”
Welsh operators have previously shared their frustrations at the wait for confirmation of a reopening date with The Morning Advertiser, with one pubco boss calling it a “shambles”.
When put with claims pubs had not been given enough time to prepare for a reopening, Drakeford told reporters: "This sector has had weeks to prepare for reopening outdoors, not three days. There is plenty of guidance out there for those intending to reopen.”
Pubs in Scotland will be able to reopen for full use from 15 July.