"The government announces the liberation of the Aden province," Yemen's Vice President and Prime Minister Khaled Bahah posted on his Facebook.
He added that the government would work to restore life to normal in Aden, devastated by fighting during the past three months.
Aden will also be a hub of relief efforts for millions of people displaced in Yemen due to the conflict, according to Bahah.
Earlier this week, pro-government forces, backed by a Saudi-led military coalition, launched a surprise offensive against the mostly Shiite rebels who had overtaken Aden and drove them out of key positions there.
The rebels took Aden in March, forcing internationally recognized President Abd Rabu Mansour Hadi and his government to flee to neighbouring Saudi Arabia.
Hadi, a Sunni, said in a televised address late Thursday that "victory" in Aden was the "beginning of the road to regain" Yemen.
The Houthis, who hail from the far north, still control large parts of Yemen, including the capital Sana'a.
In late March, Saudi Arabia and fellow Sunni partners started an air campaign in Yemen against the Houthis and allied military units after the rebel groups advanced on Aden.
Senior officials in the exiled government arrived in Aden on Thursday, signaling Hadi's determination to re-establish power in the city, which he established as a provisional capital earlier this year after he fled rebel-held Sana'a.
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