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Earlier in the day, Iranian Foreign Minister Mohammad Javad Zarif also said a recent proposal by the United States to enter into negotiations with Iran over Tehran's nuclear issue while re-imposing sanctions against the country is nothing but propaganda.

Khamenei, whose remarks on Monday come amid a sharp fall in the rial currency that has prompted angry protests, criticized the government of President Hassan Rohani.

In May, US President Donald Trump exited Iran's 2015 nuclear deal with major powers, saying it failed to address Iran's ballistic missile program, its nuclear activities beyond 2025 or its role in conflicts in Yemen and Syria.

In a joint statement on Monday, the European guarantors of the Iran agreement said they were actively working to thwart the U.S. sanctions.

State broadcaster IRIB said the new Fateh Mobin missile had "successfully passed its tests" and could strike targets on land and sea. "German businesses can continue to invest as much as they want in Iran", Altmaier said, adding, however, that "many companies depend on loans from banks, most of which refinance themselves in the U.S. - and it creates problems".

"All people feel livelihood problems today".

"They [the Americans] are exaggerating the possibility of a war with Iran".

Part of the strategy has been an effort to show action against Iran's deeply entrenched corruption, which Khamenei once described as "a seven-headed dragon".

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"The corrupt people [officials] should be punished firmly", Khamenei said on Monday.

Special courts are being set up to try suspects quickly after Ayatollah Khamenei agreed with a request by Judiciary chief Ayatollah Sadeq Amoli Larijani to swiftly deal with financial criminals.

Some lawmakers have criticised the move, with high-profile MP Ali Motahari saying on Monday that parliament must not be "by-passed" when writing new rules.

Britain negotiated the original Iran deal in 2015 with France, Germany, China, Russia and the United States in a process coordinated by the European Union.

Iran's leader on Monday rejected Trump's offer of unconditional talks to improve bilateral ties and he also accused the Iranian government of economic mismanagement in the face of reimposed U.S. sanctions.

The rial has lost about half of its value since April in anticipation of the renewed usa sanctions, driven mainly by heavy demand for dollars among ordinary Iranians trying to protect their savings.

"We have no problem with dialogue but is Mr. Trump really serious about talks?"