Kuwait’s parliament has given its final seal of approval to a compensation deal between Kuwait’s and Iraq’s national carriers.

A total of $500m will be paid out by Iraqi Airways to Kuwait Airways for damages caused by Iraqi forces during the 1990-91 invasion of the country.  

The settlement is less than half the $1.2bn that Kuwait Airways says it is owed.

During the Iraqi invasion, Kuwait says that 10 planes and aircraft parts were stolen by Saddam Hussein’s forces.

The compensation agreement was originally ratified by the Kuwaiti Emir last October, before the parliamentary elections. The new parliament was then required to ratify the deal.

After the Iraqi invasion, flights between Iraq and Kuwait were suspended, with authorities only giving approval for direct flights to resume between the two countries last year.