"On December 16, the United States and Cuba reached a bilateral arrangement to establish scheduled air services between the two countries," the State Department said in a statement.
"This arrangement will continue to allow charter operations and establish scheduled air service, which will facilitate an increase in authorised travel, enhance traveller choices and promote people-to-people links between the two countries," it said.
The deal was finalised last night, an official was quoted as saying by CNN. The official could not say when flights would actually resume, because there are other steps the Federal Aviation Administration needs to take to ensure certain safety regulations are in place.
US law still bars travel to Cuba for tourism.
The move is the latest in a series of steps taken to cool off tensions between the two countries.
Cuban Foreign Minister Bruno Rodriguez Parilla travelled to Washington in July to re-open Cuba's US Embassy, and Secretary of State John Kerry flew to Cuba a month later to re-open the US Embassy there for the first time since 1961.
"When the United States shuttered our embassy in 1961, I don't think anyone thought it would be more than half a century before it reopened," President Barack Obama had said.
But not all Cold War vestiges have been cast off -- the US embargo remains in place with support from Republican lawmakers who have railed against President Obama's efforts to renew relations with Cuba.
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