Armed forces chief of staff General Hassan Firouzabadi has warned the Islamic republic's arch-foes that Iran is prepared for a "decisive battle" if attacked, Fars news agency reported on Wednesday.

"We are ready for the decisive battle with America and the Zionist regime (Israel)," Fars quoted Firouzabadi as saying.

He also warned neighboring nations not to allow any attack to be launched on Iran from their soil.

"We do not have any hostility towards regional states, but if we are ever attacked from the American bases in the region we will strike that area back," he said.

Washington has many military bases in the region, including in Bahrain, Kuwait, the United Arab Emirates, Saudi Arabia and Turkey.

US Secretary of State John Kerry said late last month that if diplomacy with Iran fails, "the military option of the United States is ready and prepared to do what it would have to do."

But Firouzabadi accused the US of bluffing.

Iran is due to resume talks on Monday in Vienna with the P5+1 - Britain, France, the US, Russia and China plus Germany - aimed at reaching a comprehensive nuclear accord following a landmark interim agreement struck in November.

AFP