The US President Barack Obama has signalled that he will remove Cuba from the list of State Sponsors of Terrorism in a landmark move that would improve relations between the two countries.

Mr Obama is attending the Summit of the Americas in Panama today. He is due to meet with his Cuban counterpart Raul Castro, in what is being billed as an historic encounter.

In relation to Cuba, Mr Obama has said: "I believe that engagement is a more powerful force than isolation."

Several areas are due to be examined in relaxing relations with the island nation.

These include re-establishing diplomatic relations, an expansion of travel, and expanded sales and exports of certain goods and services from the US to Cuba.

General licenses will be made available for all authorised travelers in 12 categories - such as family visits, journalistic activity and educational activities.

The US Secretary of State John Kerry has already shaken hands with the Cuban Foreign Minister Bruno Rodríguez on sidelines of the summit.

This photo was posted on Twitter:

Secretary @JohnKerry shakes hands with Cuban Foreign Minister Bruno Rodríguez on sidelines of Summit of the Americas. pic.twitter.com/w1JfEwlXUx

— Department of State (@StateDept) April 10, 2015

President Obama says his State Department has examined whether or not to remove Cuba from the list of state sponsors of terrorism, and will make a recommendation to him.

He announced back in December that the US would be taking a new course on US-Cuba relations: