US President Obama has announced a range of measures to re-establish diplomatic ties with Cuba, after more than 50 years.
In a White House address in the past hour, Barack Obama said a 'new chapter' in relations has been opened.
It follows the release of American aid worker Alan Gross - after five years in prison.
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Cuban President Raul Castro made a simultaneous announcement in Cuba.
President Obama said an embassy will be opened in due course.