The European Union agreed 18 million euros ($20.6 million) in aid for Iran on Thursday, including for the private sector, to help offset the impact of U.S. sanctions and salvage a 2015 deal that saw Tehran limit its nuclear ambitions.
The announcement is part of the bloc's high-profile efforts to support the nuclear accord that President Donald Trump abandoned in May.
The projects agreed Thursday are part of a wider package of 50 million euros to address social and economic challenges in Iran, agreed in the wake of the 2015 deal.
The EU is working to maintain trade with Iran, which has threatened to stop complying with the nuclear agreement if it fails to see the economic benefits of relief from sanctions.
The bloc's foreign policy chief Federica Mogherini said in a statement the bloc was committed to cooperation with Iran.
"This new package will widen economic and sectoral relations in areas that are of direct benefit to our citizens," she said.
The bloc will spend 8 million euros on the private sector, including assistance for small and medium-sized enterprises and Iran's Trade Promotion Organization.
A further 8 million euros will go to environmental projects and 2 million euros to fighting harm caused by drugs.
Earlier this month, the United States reimposed sanctions targeting the Iranian financial system, including Iranian government purchases of U.S. dollars, gold trade and government bond sales.
More sanctions are due in November, including measures to prevent Iran from selling oil.
Trump argues that the nuclear deal, negotiated by Britain, France Germany, Russia, China and the U.S., fails to block Tehran's path to a nuclear weapon. However, the other countries say it has been serving its purpose.