Secretary of State Mike Pompeo on Monday hailed what he called a "fundamental change" in the relationship with Sudan after it officially left the US terror blacklist.
"Sudan's designation as a state sponsor of terrorism is officially rescinded. This represents a fundamental change in our bilateral relationship toward greater collaboration and support for Sudan's historic democratic transition," Pompeo said in a statement.
Sudan had been labeled as a state sponsor of terrorism since 1993, severely hampering investment as most foreign investors are unwilling to incur the wrath of US authorities.
The delisting was a major goal for the new civilian-backed government after the fall last year of dictator Omar al-Bashir, who had welcomed Al-Qaeda.
President Donald Trump announced the intention to delist Sudan in October and it became official with Pompeo's signature after Congress did not object within 45 days.
"We commend the calls of the Sudanese people for freedom, peace and justice, and we congratulate the members of the civilian-led transitional government for their courage in advancing the aspirations of the citizens they serve," Pompeo said.