The United States Food and Drug Administration (FDA) has approved the use of remdesivir for treatment of Covid-19 infection.
The manufacturer of the drug, Gilead Sciences, made the announcement on Thursday.
The said drug is sold under the brand name Veklury and was previously being used for emergency cases but with approval.
Veklury now becomes the first drug to be approved for the treatment of Coronavirus.
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"In the United States, Veklury is indicated for adults and pediatric patients for the treatment of Covid-19 requiring hospitalisation," said Gilead Sciences in a statement.
The company however warned that the medicine should only be administered within a hospital environment where adequate care is guaranteed.
"Veklury should only be administered in a hospital or in a healthcare setting capable of providing acute care comparable to inpatient hospital care," the company added.
A global study sponsored by the World Health Organization (WHO) found that remdesivir did not aid patients to survive or even recover faster.
However, a US study established that the infused drug shortened the recovery time for some Covid-19 patients by up to a third.
Read full statement: Gilead Sciences on FDA approval of Remdevisir for Covid-19 treatment