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			 In the first meeting of its kind in nearly 60 years, U.S. 
			President Barack Obama and Cuban leader Raul Castro sat down 
			together for over an hour on Saturday at a regional summit in 
			Panama, moving a step closer to restoring diplomatic ties. 
			 
			It was the result of nearly two years of secret talks and quiet 
			diplomacy and the mood was positive, both inside the room and out, 
			where Latin American leaders praised Obama for ending decades of 
			U.S. hostility toward the communist-ruled island. 
			 
			Obama clearly sees Cuba as a possible success story for his policy 
			of engaging U.S. foes. 
			 
			At a time of multiple risks to his foreign policy record - from 
			Iran's nuclear program and the war in Syria to Russian involvement 
			in Ukraine and the violence of Islamic State - getting on well with 
			Cuba looks relatively easy. 
			 
			"The Cold War is over," Obama said. "I think there is a strong 
			majority both in the United States and in Cuba that says our ability 
			to engage, to open up commerce and travel and people-to-people 
			exchanges is ultimately going to be good for the Cuban people." 
			 
			Yet the gulf between the two sides remains wide, illustrated by the 
			absence of U.S. and Cuban flags at the carefully orchestrated 
			meeting on Saturday in a sparsely furnished conference room. 
			   
			 
			The U.S. economic embargo, which has blocked nearly all trade 
			between the two nations for the last five decades, is firmly in 
			place. Cuba's human rights record stills draw scorn from Washington, 
			as does U.S. foreign policy from Havana. 
			 
			"Let's not fool ourselves. We have a lot of differences," said 
			Castro, 83, who has been an enemy of the United States for most of 
			his life and still railed passionately against its past policies 
			even as he praised Obama as "an honest man". 
			 
			"In other words, we're willing to talk about everything with 
			patience, with a lot of patience," added the army general and 
			younger brother of revolutionary leader Fidel Castro. 
			 
			Obama and Castro announced in December they would work to 
			re-establish full diplomatic ties severed in 1961, reopen embassies 
			in each other's capitals and free up trade and travel. 
			 
			Restoring diplomatic relations is easy enough, requiring little more 
			than the presidents' agreement. But normalizing overall relations 
			could take years. 
			 
			Cuba has shown no signs that it is willing to allow wider political 
			rights. The government dismisses dissidents as mercenaries, moves 
			quickly to stifle dissent, and Castro has made clear he does not 
			intend to allow any relaxation of Communist Party rule. 
			 
			And while Cuba is looking to draw in foreign investment, any U.S. 
			businesses seeking to set up there need the government's blessing. 
			Castro's government moves cautiously, as it has shown with its own 
			market-style economic reforms in recent years. 
			 
			TERRORISM LIST 
			 
			In the short term, Cuba is still waiting to be removed from the U.S. 
			State Department's list of state sponsors of terrorism, a unilateral 
			designation that Cuba rejects as unjust. 
			 
			Obama is expected to inform Congress within a few days he is taking 
			Cuba off the list, which would free the island from some economic 
			sanctions. 
			 
			There had been some expectations that Obama would announce his 
			intention to remove the terrorism designation and move forward on 
			restoring diplomatic relations at the summit. 
			 
			
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			Though there is little doubt that Havana will be taken off the 
			blacklist, U.S. officials privately have made clear that they have 
			sought to use the timing of the move as leverage in broader 
			normalization negotiations. 
			
			A number of unresolved issues have slowed down the process, 
			including Washington's wish that Cuba allow U.S. diplomats to travel 
			around the island and relax the police presence around the 
			diplomatic mission in Havana, where visiting Cubans are closely 
			watched. 
			 
			"They're building a road, and when you're building a road you don't 
			expect to finish right away," Brazilian President Dilma Rousseff, 
			speaking in Panama, said of the U.S.-Cuba relationship. 
			 
			Obama wants the Republican-controlled U.S. Congress to dismantle the 
			embargo and some allies believe a coalition of Democrats and 
			Republican free-marketeers may succeed. 
			 
			It could be a long battle. 
			 
			The U.S. president has already used his executive powers to ease 
			travel restrictions to Cuba, and allow U.S. importers to buy goods 
			from independent Cuban contractors and exporters to ship building 
			materials to private Cuban companies. 
			 
			He has so far used those powers sparingly, however, and Cuba would 
			like him to go further. 
			 
			"President Obama retains ample executive authority ... to eliminate 
			the embargo," said Foreign Minister Bruno Rodriguez. 
			 
			U.S. officials acknowledge Obama can ease more restrictions on his 
			own, within limits, but they are waiting to see the results of the 
			latest changes before deciding future measures. 
			 
			While Cuba is keen to reopen embassies and see more U.S. sanctions 
			lifted, U.S. officials say the communist government appears intent 
			on moving slowly toward full normalization, fearful that a quick 
			opening in areas like travel, trade and Internet access might loosen 
			its grip on Cuban society.The meeting between Obama and Castro was 
			marked by what one U.S. official described as a spirited 
			back-and-forth over issues that divide them, including human rights 
			and press freedoms. 
			
			
			  
			
			 
			 
			"There wasn’t tension," the official said, adding that there were 
			also "lighter moments" when the leaders marveled at how unimaginable 
			such a meeting would have been not long ago. 
			 
			(Reporting by Daniel Trotta, Matt Spetalnick, Dave Graham and David 
			Alire Garcia; Editing by Kieran Murray) 
			
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