The United States is planning to introduce a United Nations resolution next week that would lift sanctions against Iraq and address other post-war issues.
In addition to ending sanctions imposed in 1990, the omnibus resolution would authorise the phasing-out of the UN oil-for-food humanitarian programme, which would end UN control over Iraq's oil revenue.
The resolution would endorse the role of the US-led military coalition now in control of Iraq and the establishment of an interim Iraqi authority.
It will also ask the UN Secretary General Mr Kofi Annan to appoint a UN special co-ordinator to work with US officials in Baghdad on UN activities.
"We will propose ... that the council address this new situation in an appropriate manner, and we think that's by lifting the sanctions and winding down the oil-for-food programme," US State Department spokesman Mr Richard Boucher said in Washington.
"We would expect to continue our consultations and probably present a text or present some ideas on a resolution soon," he said, adding in response to a question that "next week is included in soon".
AP