After 18 months of secret talks, Obama and Cuban President Raul Castro agreed in a phone call on Tuesday on a breakthrough prisoner exchange, the opening of embassies in each other's countries, and an easing of some restrictions on commerce.

The two leaders made the announcement in simultaneous televised speeches. The Vatican and Canada facilitated the deal.

Obama's call for an end to the economic embargo drew resistance from Republicans who will control both houses of Congress from January and who oppose normal relations with the communist-run island.

Obama said he was ending what he called a rigid and outdated policy of isolating Cuba that had failed to achieve change on the island.

His administration's policy shift includes an opening to more commerce in some areas, allowing use of U.S. credit and debit cards, increasing the amount of money that can be sent to Cubans and allowing export of telecommunications devices and services.

RESTRICTIONS REMAIN

Travel restrictions that make it hard for most Americans to visit will be eased, but the door will not yet be open for broad U.S. tourism on the Caribbean island.

His announcement also will not end the U.S. trade embargo that has been in force for more than 50 years. That is codified in legislation and needs congressional approval. Obama said he would seek that approval but will likely face a struggle.