I've had a friend with depression, nothing this serious, but a few things seem to help (besides happy pills).
Finding a hobby or activity which they can get really engaged in seems to help, mostly it's the keeping busy I think. Some things which seemed to help were simple, like reading, sewing projects, excercise etc. However the biggest help for this person was not being left alone - whenever they were spending time with their partner or friends, regardless of whether it was a planned group outing or just doing the usual household things together as friends, they seemed to cope much better.
I think as a friend the biggest thing (and often hardest if you're working as well) that you can give them is your time and attention. Stay engaged with them, spend time with them, often just cuddling up on the sofa to watch a movie can help change someone's mood for the time being at least.
Outside of all of this you can obviously help by seeing that they are getting the best professional help they can. Take a good look at
http://www.depression.org.nz/ and see what they have to offer, but it sounds like they are getting this already.
If you fear they have set a time limit, give them a goal to work towards, or something to look forward to, at some point in the future. Not so far as to be out of sight, but something to look forward to in the near future can make a big difference to someone's state of mind.
It sounds like you're doing a good job already. It sucks if all you can give is your encouragement, but even that can make a difference. And as 98tls says, don't forget that all you can do is help them - ultimately they have final responsibility.
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