Iran's Foreign Ministry spokesman Mohammad-Ali Hosseini has criticized a US plan to strike a $20 billion arms deal with Saudi Arabia.

Speaking at his weekly press briefing on Monday Hosseini noted that 'The US arms deal with Saudi Arabia would undermine security in the Middle East.'

Mohammad-Ali Hosseini's comments followed reports of an estimated $20 billion US arms deal with Saudi Arabia and five other oil-rich Persian Gulf states.

"Americans have always tried to prepare an opportunity for selling their arms by raising fear and playing regional countries off against each other," he said.

"What the Persian Gulf region needs is stability, unity, security and economic development, but Americans have been trying to prevent this", IRNA reported Hosseini as saying.

Hosseini added that "The arms deal subject was intentionally raised on the threshold of the US Foreign and Defense secretaries visit."

The US will also extend its military aid to its closest Middle East ally, the Zionist regime, by 25% next year. Secretary of State Condoleezza Rice is expected to announce the proposed aid deals and a proposed arms sales package to Persian Gulf nations before she leaves on a trip to the Middle East on Monday.