Following decades of conflict, Libya and the United States took major steps to improve their bilateral relationship in the closing months of the Bush administration. In September 2008, Condoleezza Rice visited Libya, the first secretary of State to do so since John Foster Dulles in 1953. In November, two weeks after Libya contributed $1.5 billion to a newly created Humanitarian Settlement Fund intended to resolve outstanding lawsuits by American victims of Libyan terrorism, President George W. Bush telephoned the Libyan leader, Muammar al-Qaddafi, and voiced his satisfaction with the settlement. In December 2008, Gene A. Cretz took up his position as U.S. ambassador to Libya, the first since 1972.

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