Police officials say the incident took place on Monday when a bomber detonated his explosive-laden car near an entrance to Green Zone which houses diplomatic missions including the US embassy.
Medics and security officials have confirmed seven dead and 24 injured.
“Cars were lining up waiting to be searched at the checkpoint that leads to the Green Zone and suddenly a speeding car exploded nearby,” said one police official on condition of anonymity.
“Some people died inside cars and I saw two soldiers lying on the ground. We immediately closed the area,” the official added.
On September 9, a series of bombs hit Baghdad, leaving at least 32 people dead and 100 more injured.
DB/MA
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