In a televised address read by Information Minister Mohamed Said Sahaf, the Iraqi leader said both Iraq and Kuwait had been victims of the Gulf War in 1991.
At the carol service, a packed hall enjoy the women's choir, watch the nativity play acted by children dressed in towels and blankets and listen to the army leader's humorous address.
Cagaptay describes him as "the most powerful elected leader Turkey has ever had, and he has an opportunity to addressthe Kurdish issue" by advancing autonomy for Turkey's 14 million Kurds.