Iraqi resistance group freed eight Chinese hostages after claiming Beijing agreed to a blanket travel ban for Iraq.

The hostage saga and political drama unfolded with eight days to national elections and came after a pair of car bombs in the vicinity of Baghdad killed at least.

Official news agency Xinhua quoted the Chinese embassy in Iraq as saying the eight men had been released.

"The Chinese government showed its good intentions with the publication of a presidential decree banning Chinese citizens from entering Iraq and the Movement of the Islamic Resistance Nuamaan Brigades decided to release the eight prisoners to confirm the friendly relations between the two countries," the statement said, referring to the name adopted by the group.

"We would also like to insist on the good treatment accorded to the prisoners who did not undergo any suffering during their detention. We would also like to say that there was no bargaining or ransom paid for their release," he said.

The kidnappers previously said they would spare the lives of the men if Beijing issued a travel ban for the war-ravaged country.

The Chinese foreign ministry said late Friday that it had already warned its citizens to stay out of Iraq and pointed out the men had been leaving the country.

PHOTO CAPTION

A video grab taken from al-Arabiya channel shows a hooded man shaking hands with a former Chinese hostage as others look on after their release at undisclosed location in Iraq. (AFP)