The United States has removed Cuba from its list of state sponsors of terrorism, resulting in the elimination of a major obstacle in restoring diplomatic ties between the two countries.
According to BBC, the removal now allows Cuba to carry out banking in the US, among other activities.
In December, US President Barack Obama announced a historic thaw with Cuba but the US trade embargo on Cuba will only be ended by the Congress.
The removal of Cuba from the US' list of state-sponsored terror has been one of the top demands of Havana.
Leaders from both countries have repeatedly met to negotiate diplomatic ties including the opening of embassies in Washington and Havana.