Argentine lawmakers have unanimously agreed to pay compensation to the relatives of those killed in a suicide bomb attack on the Buenos Aires Israeli embassy nearly two decades ago.

The 1992 attack left 29 people dead and more than 200 people injured. It remains one of the most severe attacks yet on an Israeli embassy.

The new law means relatives of those killed will receive economic compensation of up to £140,000, with reduced sums given to those who sustained injuries in the blast.

The compensation scheme is set to cost the Argentine government nearly £25 million.

The decision could pave the way for a settlement for another terrorist attack in Buenos Aires two years later, when 85 people were killed at the AMIA Jewish centre.