Iran informed the US that it would refrain from responding to the airstrike in which senior Islamic Revolutionary Guard Corps (IRGC) commanders were killed in Damascus if a ceasefire in Gaza is reached, Jadeh Iran reported on Sunday.

The news outlet cited an anonymous Arab diplomatic source, saying the source spoke to the news outlet two days ago. The source added that "If America succeeds in containing the situation, it will be a great success for the Biden administration and we can build on that."

The report comes as negotiations for a ceasefire and hostage release deal resume between Israel and Hamas in Cairo and as Israel continues preparations for a possible response to the Damascus airstrike that Syria and Iran blamed on Israel.

The airstrike targeted the Iranian consulate in Damascus last Monday, killing IRGC commander Mohammad Reza Zahedi - the main Iranian official responsible for operations in Syria and Lebanon - as well as his deputy and several other IRGC officers.

Iran threatens 'harsh response' to Damascus airstrike

Since the airstrike, Iran has made repeated threats of a "harsh response" against Israel. US media has reported that US and Israeli intelligence believe that Iran could target Israel directly with cruise missiles and kamikaze drones. The reports indicated that the response could come by the end of the month of Ramadan, which is expected to end on Tuesday or Wednesday, depending on the sighting of the moon.

IDF Chief of Staff Herzi Halevi stressed on Sunday that Israel knows "how to handle Iran."

"We are prepared for this; we have good defensive systems and know how to act forcefully against Iran in both near and distant places. We are operating in cooperation with the USA and strategic partners in the region," said Halevi.