The US ambassador to Iraq has inaugurated the new American Embassy in Baghdad. The facility is estimated to have cost 700 million US dollars.

Ambassador Ryan Crocker says the inauguration is a sign of the United States' long-term relationship and commitment to Iraq.

US Marines raised the flag over the largest US Embassy in the world during a ceremony in the courtyard of the large complex that will provide a working space for one thousand people.

The ceremony was attended by Iraqi president Jalal Talabani and the U.S. Deputy Secretary of State, John Negroponte, who also served as ambassador to Iraq in 2005.

John Negroponte says the new embassy exemplifies the ties which exist between the US and Iraq.

"It is from the embassy that you see before you that we will continue the tradition of friendship, cooperation and support begun by the many dedicated Americans who have worked in Iraq since 2003."

Earlier, U.S. ambassador Ryan Crocker said Iraq has made tremendous progress over the past three months but the United States must remain engaged over the long term if it wants those gains to solidify.

According to the U.S. military, although more than 60 people have been killed in a spate of suicide bombings and other attacks since January 1st, security around Iraq has improved. Attacks dropped from an average of 180 a day one year ago to about 10 at present.