Raul Castro praises Obama over thawing

Cuban President Raul Castro has praised US President Barack Obama and thanked the Pope after the two countries agreed to restore ties.

Cuban President Raul Castro

Cuban President Raul Castro has praised Barack Obama for taking steps to restore diplomatic ties. (AAP)

Cuban President Raul Castro has praised US President Barack Obama for taking the steps to reestablish diplomatic ties between the two former Cold War foes after a prisoner swap paved the way to a breakthrough.

"We have agreed to reestablish diplomatic ties. This does not mean that the main issue has been resolved: the economic blockade," he said in a national address on Wednesday, using the Cuban government's term for the US trade embargo imposed in 1960.

But he praised Obama for taking steps to thaw ties after more than half a century.

"This decision by President Obama deserves our people's respect and recognition," he said, adding his thanks to Pope Francis, who helped mediate the breakthrough.

"I want to thank the Vatican for its support, and especially Pope Francis," he said.

Castro's address came after the two countries sealed a prisoner swap in which US contractor Alan Gross was freed in exchange for three Cubans convicted on spying charges: Gerardo Hernandez, Ramon Labanino and Antonio Guerrero.

Castro said the trio, who Havana considers "heroes" for fighting anti-communist Cuban exile groups in the US, had arrived home earlier Wednesday.

"Gerardo, Ramon and Antonio arrived today in our motherland," he said.

"For humanitarian reasons, US citizen Alan Gross was also returned today to his country."


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