A $7bn debt owed to the UAE is cancelled during a visit by Iraq’s prime minister.
A second woman was killed by a stray bullet after locals fired guns into the air.
Over the past year, Diyala has suffered several suicide bomb attacks carried out by women, some of them causing high casualties.
The US military says al-Qaeda in Iraq is increasingly using female suicide bombers to avoid detection by security forces.
The military also says there have been more than 20 female suicide bombings this year in Iraq.