US President Barack Obama has confirmed the end of all combat operations in Iraq by 31 August.
Some 50,000 of 65,000 US troops currently in Iraq are set to remain until the end of 2011 to advise Iraqi forces and protect US interests.Mr Obama proclaimed that the end of operations would arrive "as promised and on schedule".
It comes amid a dispute between the US and Baghdad over the latest casualty numbers in Iraq.
The thrust of Mr Obama's speech was the fulfilment of his campaign promise to end the Iraq war, which was a defining characteristic of his 2008 candidacy.
Mr Obama made his announcement in a speech to the national convention of the Disabled American Veterans in Atlanta, Georgia.
The remaining 50,000 troops will stay in the country in order to train Iraqi security forces, conduct counterterrorism operations and provide civilians with ongoing security, said Mr Obama.
An agreement negotiated with the Iraqis in 2008 states that these troops must be gone from the country by the end of next year.
But the president warned the US had "not seen the end of American sacrifice in Iraq".
He added: "But make no mistake, our commitment in Iraq is changing - from a military effort led by our troops to a civilian effort led by our diplomats."
Meanwhile, according to the US military, 222 people died in attacks last month. Baghdad says 535 lost their lives - which would make July the deadliest month in the country for more than two years.
Analysis
Continue reading the main story Barack Obama made his promise to end combat operations in Iraq last year - the purpose of today's speech was to remind America's voters that he is keeping that promise.By the end of the month 90,000 American troops will have been withdrawn and the 50,000 who remain will leave before the end of next year.
By the end of the process, more than 350 bases and 3.5 million pieces of equipment will be closed down, transferred to the Iraqi security forces or redeployed to other American units.
That's a logistical feat on a staggering scale but the president was careful not to repeat the mistake of his predecessor George W Bush who famously declared that America's mission in Iraq had been accomplished seven years ago - long before the violence and instability were ended.
"The claim that July 2010 was the deadliest month in Iraq since May 2008 is incorrect," a US military statement said.
The US offered no full explanation as to why its figures differed so markedly from those issued by the Iraqi authorities.
As the November congressional elections loom, Mr Obama wants to continue to hail the progress his administration has made in Iraq as a success, analysts say.
Ongoing uncertainty The BBC's Hugh Sykes reports from Baghdad that some Iraqis worry that attacks by al-Qaeda in Iraq are increasing again as the Americans leave.
Two bombings and a shooting killed eight people in Iraq on Monday.
Many Iraqis are also concerned about the failure to form a government, our correspondent says.
Since an inconclusive legislative election in March, Sunni, Shia and Kurdish factions that won most seats have disagreed about who should be the next Iraqi prime minister.
Fears have been rising that the ongoing political uncertainty could hinder the plans for a full US military departure by the end of 2011.
While the US has been scaling down its troop presence in Iraq, it has been stepping up its military commitment to Afghanistan, with the president ordering a surge of 30,000 additional soldiers there.
Iraq War Quick Facts
Continue reading the main story- 31 August will mark the end of Operation Iraqi Freedom
- Baghdad reports 535 dead in July
- 50,000 US troops to remain until end of 2011
- US troops scheduled to occupy 94 bases in Iraq by the end of August
But some are saying Obama's plan to begin withdrawing troops in Afghanistan as early as next July could encourage the Taliban and other extremist groups.
Although there has been an increase in US troops in Afghanistan, there are fewer troops in Iraq and Afghanistan today than when Mr Obama first entered the White House.
The Obama administration says once the Iraq withdrawal is finished, there will be a total of 146,000 troops on the ground in Iraq and Afghanistan - which is a drop from 177,000 in January of 2009.
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