After World War I, Iraq passed from the failing Ottoman Empire to British control. Kingdom of Iraq was established under the British Mandate in 1932. In the 14 July Revolution of 1958, the king was deposed and the Republic of Iraq was declared. In 1963, the Ba'ath Party staged a coup d'état and was in turn toppled by another coup in the same year, but managed to retake power in 1968. Saddam Hussein took power in 1979 and ruled Iraq for the remainder of the century, during the Iran–Iraq War of the 1980s, the Invasion of Kuwait and the Gulf War of 1990 to 1991 and the UN sanction during the 1990s. Saddam was removed from power in the 2003 invasion of Iraq.

British Mandate

Ottoman rule over Iraq lasted until the First World War when the Ottomans sided with Germany and the Central Powers. In the Mesopotamian campaign against the Central Powers, British forces invaded the country and suffered a major defeat at the hands of the Turkish army during the Siege of Kut (1915–16). British forces regrouped and captured Baghdad in 1917. An armistice was signed in 1918.

Modern Iraq was established from the former three Ottoman provinces, Baghdad Vilayet, Mosul Vilayet and Basra Vilayet, which were known as Al-'Iraq. The Sykes-Picot agreement was a secret agreement between UK and France with the assent of Imperial Russia, defining their respective sphere of influence and control in West Asia after the expected downfall of the Ottoman Empire during World War I. The Agreement was concluded on 16 May 1916. On 11 November 1920 it became a League of Nations mandate under British control with the name "State of Iraq".

Britain imposed a Hāshimite monarchy on Iraq and defined the territorial limits of Iraq without taking into account the politics of the different ethnic and religious groups in the country, in particular those of the Kurds and the Assyrians to the north. During the British occupation, the Shi'ites and Kurds fought for independence.

Faced with spiralling costs and influenced by the public protestations of T. E. Lawrence in The Times, Britain replaced Arnold Wilson in October 1920 with new Civil Commissioner Sir Percy Cox. Cox managed to quell the rebellion, yet was also responsible for implementing the fateful policy of close cooperation with Iraq's Sunni minority."Sunni control over the levels of power and the distribution of the spoils of office has had predictable consequences- a simmering resentment on the part of the Shi'a..." Anderson & Stansfield “The Future of Iraq: Dictatorship, Democracy or Division?”, page 6.

In the Mandate period and beyond, the British supported the traditional, Sunni leadership (such as the tribal shaykhs) over the growing, urban-based nationalist movement. The Land Settlement Act gave the tribal shaykhs the right to register the communal tribal lands in their own name. The Tribal Disputes Regulations gave them judiciary rights, whereas the Peasants' Rights and Duties Act of 1933 severely reduced the tenants', forbidding them to leave the land unless all their debts to the landlord had been settled. The British resorted to military force when their interests were threatened, as in the 1941 Rashīd `Alī al-Gaylānī coup. This coup led to a British invasion of Iraq using forces from the British Indian Army and the Arab Legion from Jordan.

Kingdom of Iraq

Emir Faisal, leader of the Arab revolt against the Ottoman sultān during the Great War, and member of the Sunni Hashimite family from Mecca, became the first king of the new state. He obtained the throne partly by the influence of T. E. Lawrence. Although the monarch was legitimized and proclaimed King by a plebiscite in 1921, nominal independence was only achieved in 1932, when the British Mandate officially ended.

In 1927, huge oil fields were discovered near Kirkuk and brought economic improvement. Exploration rights were granted to the Iraqi Petroleum Company, which despite the name, was a British oil company. King Faisal I was succeeded by his son Ghazi in December 1933. King Ghazi's reign lasted five and a half years. He claimed Iraqi sovereignty over Kuwait. An avid amateur racer, the king drove his car into a lamppost and died 3 April 1939. His son Faisal followed him to the throne.

King Faisal II (1935–1958) was the only son of King Ghazi I and Queen `Aliyah. The new king was four when his father died. His uncle 'Abd al-Ilah became regent (April 1939 – May 1953). Abd al-llah's appointment changed the delicate balance between the palace, the officer corps, the civilian political elite and the British. Abd al-llah differed from his late brother-in-law in that he was more tolerant of the continued British presence in Iraq. Indeed, he was in some respect positively enthusiastic about the link with Great Britain, seeing it as one of the principal guarantors of the Hashemite dynasty. This meant that he had little in common with the Arab nationalist army officers whom he tended to regard as social upstarts, unworthy of his cultivation.Tripp, Charles. "A History of Iraq" Cambridge University Press, Cambridge, 2007, p.96.

In 1945, Iraq joined the United Nations and became a founding member of the Arab League. At the same time, the Kurdish leader Mustafa Barzani led a rebellion against the central government in Baghdad. After the failure of the uprising Barzani and his followers fled to the Soviet Union.

In 1948, Iraq entered the 1948 Arab–Israeli War along with other members of the Arab League in order to defend Palestinian rights. Iraq was not a party to the cease-fire agreement signed in May 1949. The war had a negative impact on Iraq's economy. The government had to allocate 40 percent of available funds to the army and for the Palestinian refugees. Oil royalties paid to Iraq were halved when the pipeline to Haifa was cut.

Iraq signed the Baghdad Pact in 1956. It allied Iraq, Turkey, Iran, Pakistan, and the United Kingdom. Its headquarters were in Baghdad. The Pact constituted a direct challenge to Egyptian president Gamal Abdal Nasser. In response, Nasser launched a media campaign that challenged the legitimacy of the Iraqi monarchy.

In February 1958, King Hussein of Jordan and `Abd al-Ilāh proposed a union of Hāshimite monarchies to counter the recently formed Egyptian-Syrian union. The prime minister Nuri as-Said wanted Kuwait to be part of the proposed Arab-Hāshimite Union. Shaykh `Abd-Allāh as-Salīm, the ruler of Kuwait, was invited to Baghdad to discuss Kuwait's future. This policy brought the government of Iraq into direct conflict with Britain, which did not want to grant independence to Kuwait. At that point, the monarchy found itself completely isolated. Nuri as-Said was able to contain the rising discontent only by resorting to ever greater political oppression.

Republic of Iraq 1958 revolution Inspired by Nasser, officers from the Nineteenth Brigade known as "Free Officers", under the leadership of Brigadier Abd al-Karīm Qāsim (known as "az-Za`īm", 'the leader') and Colonel Abdul Salam Arif overthrew the Hashimite monarchy on 14 July 1958. King Faisal II and `Abd al-Ilāh were executed in the gardens of ar-Rihāb Palace. Their bodies (and those of many others in the royal family) were displayed in public. Nuri as-Said evaded capture for one day, but after attempting to escape disguised as a veiled woman, he was caught and shot.

The new government proclaimed Iraq to be a republic and rejected the idea of a union with Jordan. Iraq's activity in the Baghdād Pact ceased.

When Qāsim distanced himself from `Abd an-Nāsir, he faced growing opposition from pro-Egypt officers in the Iraqi army. `Arif, who wanted closer cooperation with Egypt, was stripped of his responsibilities and thrown in prison.

When the garrison in Mosul rebelled against Qāsim's policies, he allowed the Kurdish leader Barzānī to return from exile in the Soviet Union to help suppress the pro-Nāsir rebels.

Early 1960s In 1961, Kuwait gained independence from Britain and Iraq claimed sovereignty over Kuwait. As in the 1930s, Qasim based Iraq's claim on the assertion that Kuwait had been a district of the Ottoman province of Basra, unjustly severed by the British from the main body of Iraqi state when it had been created in the 1920s.Tripp, Charles. A History of Iraq, Cambridge University Press, Cambridge, 2002, p.165 Britain reacted strongly to Iraq's claim and sent troops to Kuwait to deter Iraq. Qāsim was forced to back down. After Qasim's death, the new government of Iraq recognized the sovereignty of Kuwait in October 1963.

A period of considerable instability followed.

1963 Ba'ath coup Qāsim was assassinated in February 1963, when the Ba'ath Party took power under the leadership of General Ahmed Hasan al-Bakr (prime minister) and Colonel Abdul Salam Arif (president). Nine months later `Abd as-Salam Muhammad `Arif led a successful coup against the Ba'ath government.

1966 re-installation of Republic On 13 April 1966, President Abdul Salam Arif died in a helicopter crash and was succeeded by his brother, General Abdul Rahman Arif. In 1967–1968 Iraqi communists launched an insurgency in southern Iraq.

Ba'athist Iraq 1968 Ba'ath return to power Following the Six-Day War of 1967, the Ba'ath Party felt strong enough to retake power (17 July 1968). Ahmad Hasan al-Bakr became president and chairman of the Revolutionary Command Council (RCC).

Barzānī and the Kurds who had begun a rebellion in 1961 were still causing problems in 1969. The secretary-general of the Ba'ath Party, Saddam Hussein, was given responsibility to find a solution. It was clear that it was impossible to defeat the Kurds by military means and in 1970 a political agreement was reached between the rebels and the Iraqi government.

Iraq's economy recovered sharply after the 1968 revolution. The Arif brothers had spent close to 90% of the national budget on the army but the Ba'ath government gave priority to agriculture and industry. The British Iraq Petroleum Company monopoly was broken when a new contract was signed with ERAP, a major French oil company. Later the IPC was nationalized. As a result of these policies Iraq experienced rapid economic growth.

1970s During the 1970s, border disputes with Iraq and Kuwait caused many problems. Kuwait's refusal to allow Iraq to build a harbor in the Shatt al-Arab delta strengthened Iraq's belief that foreign powers in the region were trying to control the Persian Gulf. Iran's occupation of numerous islands in the Strait of Hormuz didn't help alter Iraq's fears. The border disputes between Iraq and Iran were temporarily resolved with the signing of the Algiers Accord on 6 March 1975.

In 1972 an Iraqi delegation visited Moscow. The same year diplomatic relations with the US were restored. Relations with Jordan and Syria were good. Iraqi troops were stationed in both countries. During the 1973 October War, Iraqi divisions engaged Israeli forces.

In retrospect, the 1970s can be seen as a high point in Iraq's modern history. A new, young, technocratic elite was governing the country and the fast-growing economy brought prosperity and stability. Many Arabs outside Iraq considered it an example. However, the following decades would not be as favorable for the fledgling country.

Rise to power of Saddam Hussein