The law was passed by 141 votes after MPs overcame disagreements over the disputed city of Kirkuk.
US president Barack Obama has welcomed the news after the recent deadlock threatened to postpone the national elections next year and challenge recent improvements in stability in Iraq.
Praising the members of parliament for taking responsibility for the future of their country, Mr Obama said: 'I want to congratulate Iraq's leaders for reaching this agreement.
'The United States will continue to stand with Iraq as a string partner and as a friend.'
The elections in the new year are being seen by the western allies as crucial to strengthening Iraqi democracy.
MPs had previously disagreed over the distribution of the seats in the ethnically divided city of Kirkuk and in what manner candidates are to be listed on ballot papers.
MPs eventually voted into law the Kurdish proposal that current lists be used in next year's polls and that the city is kept as one electoral constituency.
The election had been due to take place on January 16th, however due to the political complications they are expected to be delayed for a week or so.
US president Barack Obama has welcomed the news after the recent deadlock threatened to postpone the national elections next year and challenge recent improvements in stability in Iraq.
Praising the members of parliament for taking responsibility for the future of their country, Mr Obama said: 'I want to congratulate Iraq's leaders for reaching this agreement.
'The United States will continue to stand with Iraq as a string partner and as a friend.'
The elections in the new year are being seen by the western allies as crucial to strengthening Iraqi democracy.
MPs had previously disagreed over the distribution of the seats in the ethnically divided city of Kirkuk and in what manner candidates are to be listed on ballot papers.
MPs eventually voted into law the Kurdish proposal that current lists be used in next year's polls and that the city is kept as one electoral constituency.
The election had been due to take place on January 16th, however due to the political complications they are expected to be delayed for a week or so.
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