Iraq's Kurds say Baghdad is "not interested" in reaching a deal over the deployment of federal forces along the borders of their autonomous region, one of the central government's key demands following last month's divisive independence vote.

The Iraqi government said late Wednesday that the negotiations had failed, raising fears of further conflict after clashes erupted earlier this month.

The Kurds said late Wednesday that they had proposed extending a cease-fire, and for a joint force to deploy in disputed areas and at a checkpoint on the borders with Turkey and Syria, along with representatives from the U.S.-led coalition against the Islamic State group.

The Kurds have called for negotiations over the disputed territories and other issues. The central government says the Kurds must first annul the independence referendum.