Rouhani at UN calls on Saudi to cease 'divisive policies'

Iranian President Hassan Rouhani on Thursday called on regional rival Saudi Arabia to "cease and desist" from "divisive policies" if it was serious about regional peace and security.

Rouhani was addressing the United Nations General Assembly the day after Saudi Crown Prince Mohammed bin Nayef suggested Iran should be a better neighbor in the region and not interfere in the affairs of other countries.

The leading Shia Muslim power, Iran and Sunni monarchy Saudi Arabia are both fighting Sunni militants of Islamic State, which controls parts of Syria and Iraq and has supporters and sympathizers worldwide who have carried out bombings and shootings of civilians.

"If the Saudi government is serious about its vision for development and regional security, it must cease and desist from divisive policies, spread of hate ideology and trampling upon the rights of neighbors," Rouhani said.

Saudi Arabia sees Iran as the paramount threat to the Middle East's stability, because of its support for Shia militias that Riyadh says have inflamed sectarian violence.

Saudi Arabia cut diplomatic relations with Iran in January after Iranian protesters attacked Saudi diplomatic missions in Tehran and Mashhad following Riyadh's execution of a prominent Shia cleric.

In his speech, Rouhani criticized the United States for its "lack of compliance" with a landmark nuclear deal reached with six major powers and Iran in 2015 aimed at curbing Tehran's nuclear program in exchange for lifting sanctions.

Tehran has called on the United States to do more to remove obstacles to the banking sector so that businesses feel comfortable investing in Iran without fear of penalties.

Following a meeting of the six world powers and Iran on Thursday on the sidelines of the annual UN gathering of world leaders, the European Union's top diplomat Federica Mogherini said the common assessment was that the deal was being implemented.

Iran's top authority, Supreme Leader Ayatollah Ali Khamenei, has ruled out any detente with Iran's arch foe the United States even after the lifting of economic sanctions in January. Washington severed relations with Tehran shortly after its 1979 Islamic revolution.