President Donald Trump said that negotiations with Iran were "in the final stages” as Iran said it was studying a new US proposal to end the war.

"We're in the final stages of Iran. We'll see what happens. Either have a deal or we're going to do some things that are a little bit nasty, but hopefully that won't happen," Trump told reporters.

Iran acknowledged that the US had made a new proposal, and said that Pakistan’s interior minister was in the country to facilitate communication with the US.

Saudi Arabia welcomed what it described as Trump’s willingness to “give diplomacy a chance” and urged Tehran to make a deal.

Read more: Trump says Iran talks in 'final stages' to end war, as Tehran weighs proposal