Iranian Foreign Minister Mohammad Javad Zarif made the remarks early on Sunday via a series of posts on his official Twitter account.
"MuslimBan shows baselessness of US claims of friendship with the Iranian people while only having issues with the government,” he said.
In a move which sparked widespread censure, US President Donald Trump signed a sweeping executive order on Friday to suspend refugee arrivals and impose tough controls on travelers from Iran, Iraq, Libya, Somalia, Sudan, Syria and Yemen.
"Collective discrimination aids terrorist recruitment by deepening fault-lines exploited by extremist demagogues to swell their ranks,” added Zarif.
He noted that Iran will be taking suitable reciprocal actions to protect its citizens, while respecting US citizens and differentiating between them and Washington’s hostile policies.
"Unlike the US, our decision is not retroactive. All with valid Iranian visa will be gladly welcomed,” he added.
He also stressed that the international community requires more dialogue and cooperation in order to cut the roots of violence and extremism in a comprehensive manner.
Earlier in the day, Iran’s Foreign Ministry slammed the recent decision as "insulting” vowing that Tehran would respond to the move in kind.
Other banned countries voice dismay
Meanwhile, Iraqi MPs have called on the parliament to open a discussion over the travel bans imposed by Trump on their country.
"We want officials from the Iraqi foreign affairs ministry to come to parliament to explain the US decision and discuss the matter,'' said a member of the parliament’s foreign affairs committee, Rinas Jano.
Yemen has also censured the travel ban, stressing that the country itself was victim of terror attacks.
"We are dismayed by the decision to unilaterally ban, even for only a month, travel to the United States for people holding Yemeni passports," said an official speaking on the condition of anonymity.