Obama and Castro hold 'historic' talks

The leaders of the United States and Cuba have held their first formal meeting in more than half a century, clearing the way for a normalisation of relations that had seemed unthinkable to both Cubans and Americans for generations.

In a small conference room in a Panama City convention centre, President Barack Obama and Cuban President Raul Castro sat side by side in a bid to inject fresh momentum into their months-old effort to restore diplomatic ties.