The blast struck a market in Abu Dshir, a mainly Shia enclave in the predominantly Sunni district of Dora, in the south of the Iraqi capital. Several shops were reported to have been destroyed by the explosion and vehicles set on fire.

Turkish jets have bombed suspected Kurdish insurgents in northern Iraq, the army says. The raid, which also involved artillery attacks, comes just days after Turkey’s parliament voted to extend cross-border raids into Iraq for another year.

Nato allies meeting in Budapest have reached a compromise deal to attack Afghanistan’s drug trade, but they have given no further details.