According to the Egyptian weekly Rose el-Yussef Iraqi Foreign Minister expressed the willingness to Iraq to absorb all Palestine refugees:

“The problem of the refugees is a political card used by Egypt.  Iraq alone could absorb all the Arab refugees.  In Iraq there are large stretches of fertile land which are not being exploited.  Iraq is in need of manpower and can use more than 5 million workers.  Even if such a number is found, fertile land will still be available.  Iraq will agree to make all Palestine refugees Iraqi citizens and thus contribute in a big way to the solution of the Palestine problem.”

Source: Regional Development for Regional Peace: A New Policy and Program to Counter the Soviet Menace in the Middle East, Washington, DC: Public Affairs Institute, 1957