"The declaration by Rumsfeld is aimed at trying to cover up the failure of the United States in the region," foreign ministry spokesman Hamid Reza Asefi said in a statement.

According to Asefi, at fault were "clumsy and ill thought out actions by the United States in its fight against terrorism," which had only resulted in "attacks and the deaths of innocent people".

"America's leaders see the world through Israeli eyes and cannot correctly analyse the global situation. You have to look for the centre of terrorism at the heart of the Zionist regime," the statement said.

On Tuesday top US officials, including Rumsfeld, pointed fingers at both Syria and Iran as they denounced the deadly bombing in Netanya -- the first such attack inside the Jewish state in four and a half months.

"I wouldn't want to suggest that I know about the attack today, but clearly that's been one of the stated and continuous purposes of Iran, to harm Israel," said Rumsfeld.

"We know that Iran has been on the terrorist list. We know that Iran has been assisting Hezbollah and other organizations and moving equipment and people down through Damascus into Beirut and down into positions where they can attack Israel for years and years and years and years," he said.

Four Israelis and the bomber were killed in the blast, claimed by the radical group Islamic Jihad.