Iranian President Mahmoud Ahmadinejad lashed out again at Israel on Thursday, saying the Jewish state would not survive in any shape or form and also dismissed allegations that his country is trying to make nuclear arms.

Speaking to reporters in Tehran, the hard-line leader smirked at the idea of a "greater" Israel that would include occupied Palestinian territories.

"I have heard that one of the Israelis have said that the idea of greater Israel has expired. I say here that the idea of a lesser Israel has expired too."

The idea has since been abandoned, with the Israeli political consensus now being that there would be a Palestinian state alongside Israel.

The Iranian leader also repeated previous comments, calling the Holocaust by Nazi Germany a "fake" one and saying that Israel is perpetrating a "true" holocaust on the Palestinian people.

Ahmadinejad had claimed in 2005 that Israel should be "wiped off the map" and later called the Holocaust a "myth", while most recently, he described the Jewish state as a "germ of corruption."

The Iranian President also said the International Atomic Energy Agency or IAEA's latest report approved of the peaceful nature of the Iranian nuclear program.

Iran is already under three sets of sanctions by the United Nations Security Council over its refusal to suspend uranium enrichment, while its President on Thursday insisted that the enrichment will not be stopped.