The Iranian flag waves in front of the International Atomic Energy Agency (IAEA) headquarters, before the beginning of a board of governors meeting, amid the coronavirus disease (COVID-19) outbreak in Vienna, Austria, March 1, 2021. (Photo: REUTERS)

The delegation will warn banks in the UAE that have business with Iran and are not in compliance with the sanctions.

A State Department spokesperson said the United States had evidence of non-compliance, and that the banks could later be sanctioned or penalised over their dealings.

Then-president Donald Trump in 2018 pulled the United States out of a deal in which Iran agreed with major powers that it would curb its nuclear program in return for the lifting of international economic sanctions.

Talks are being held in Vienna on reviving the deal, but have shown little advance so far. 

If there is no progress in these talks, the United States could send delegations to several other countries to tighten the economic pressure on Iran, the WSJ reported.