diff --git a/ets2panda/checker/ETSAnalyzer.cpp b/ets2panda/checker/ETSAnalyzer.cpp
index 0ce40af3ff5f16d7b945d41e7498d36fc5d29973..9fa83ca1b3f0162fa394c25036400c50a4b87ec9 100644
--- a/ets2panda/checker/ETSAnalyzer.cpp
+++ b/ets2panda/checker/ETSAnalyzer.cpp
@@ -423,7 +423,7 @@ checker::Type *ETSAnalyzer::Check(ir::SpreadElement *expr) const
         return expr->SetTsType(exprType->AsETSObjectType()->TypeArguments().front());
     }
 
-    if (!exprType->IsETSArrayType() && !exprType->IsETSTupleType() && !exprType->IsETSReadonlyArrayType()) {
+    if (!exprType->IsAnyETSArrayOrTupleType()) {
         if (!exprType->IsTypeError()) {
             // Don't duplicate error messages for the same error
             checker->LogError(diagnostic::SPREAD_OF_INVALID_TYPE, {exprType}, expr->Start());
diff --git a/ets2panda/checker/ets/function.cpp b/ets2panda/checker/ets/function.cpp
index 1fd04a4a9e88ed3d4b7489ecfbe585db545fbe43..0ff022f42d722e52c2229a6853475b34777b0687 100644
--- a/ets2panda/checker/ets/function.cpp
+++ b/ets2panda/checker/ets/function.cpp
@@ -1799,8 +1799,9 @@ SignatureInfo *ETSChecker::ComposeSignatureInfo(ir::TSTypeParameterDeclaration *
                 return nullptr;
             }
             ES2PANDA_ASSERT(restParamType != nullptr);
-            if (!restParamType->IsAnyETSArrayOrTupleType()) {
-                LogError(diagnostic::ONLY_ARRAY_OR_TUPLE_FOR_REST, {}, param->Start());
+            if (!restParamType->IsAnySpreadOrRestCompatibleType()) {
+                LogError(diagnostic::REST_PARAMETER_OF_INVALID_TYPE, {restParamType->MaybeBaseTypeOfGradualType()},
+                         param->Start());
                 restParamType = GlobalTypeError();
             }
             signatureInfo->restVar = SetupSignatureParameter(param, restParamType);
diff --git a/ets2panda/checker/types/type.cpp b/ets2panda/checker/types/type.cpp
index 694499259016b06b0bea17986aa1a3dc766f89e3..c8d3095e4744aa6f13dbe9b67ef255728d9fbc82 100644
--- a/ets2panda/checker/types/type.cpp
+++ b/ets2panda/checker/types/type.cpp
@@ -60,6 +60,22 @@ bool Type::IsBuiltinNumeric() const noexcept
     return IsETSObjectType() && AsETSObjectType()->HasObjectFlag(ETSObjectFlags::BUILTIN_NUMERIC);
 }
 
+bool Type::IsETSIterableType() const
+{
+    bool retVal = false;
+    if (IsETSObjectType() && AsETSObjectType()->HasObjectFlag(ETSObjectFlags::CLASS)) {
+        auto *iter = AsETSObjectType()->GetProperty(compiler::Signatures::ITERATOR_METHOD,
+                                                    checker::PropertySearchFlags::SEARCH_INSTANCE_METHOD |
+                                                        checker::PropertySearchFlags::SEARCH_IN_INTERFACES |
+                                                        checker::PropertySearchFlags::SEARCH_IN_BASE);
+
+        if (iter != nullptr) {
+            retVal = true;
+        }
+    }
+    return retVal;
+}
+
 bool Type::IsLambdaObject() const
 {
     if (IsETSObjectType() && (AsETSObjectType()->HasObjectFlag(checker::ETSObjectFlags::FUNCTIONAL_INTERFACE) ||
diff --git a/ets2panda/checker/types/type.h b/ets2panda/checker/types/type.h
index b0a50a0b51d31f85953003e00e86e147ff312481..0b7197c4037a8778159cdf985c459c96cf9396e2 100644
--- a/ets2panda/checker/types/type.h
+++ b/ets2panda/checker/types/type.h
@@ -113,6 +113,7 @@ public:
     bool IsETSAsyncFuncReturnType() const;
     bool IsETSUnboxableObject() const;
     bool IsETSPrimitiveOrEnumType() const;
+    bool IsETSIterableType() const;
     bool IsETSDoubleEnumType() const;
 
     bool PossiblyETSNull() const;
@@ -176,6 +177,11 @@ public:
         return HasTypeFlag(checker::TypeFlag::CONSTANT);
     }
 
+    bool IsAnySpreadOrRestCompatibleType() const
+    {
+        return IsAnyETSArrayOrTupleType() || IsETSIterableType();
+    }
+
     bool IsAnyETSArrayOrTupleType() const
     {
         return IsETSArrayType() || IsETSResizableArrayType() || IsETSReadonlyArrayType() || IsETSTupleType();
diff --git a/ets2panda/test/ast/compiler/ets/invalid_param_pack.ets b/ets2panda/test/ast/compiler/ets/invalid_param_pack.ets
index 0ef867033bb85c3592807d5eb5e3dc68aa48014a..0eb75d4c88d40c4716310db30770d423e247b612 100644
--- a/ets2panda/test/ast/compiler/ets/invalid_param_pack.ets
+++ b/ets2panda/test/ast/compiler/ets/invalid_param_pack.ets
@@ -37,8 +37,8 @@ class Derived2 extends Base2{
 	}
 }
 
-/* @@? 17:17 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 17:17 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 17:24 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
-/* @@? 29:13 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 29:13 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 29:20 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 36:3 Error TypeError: Property 'my_func' must be accessed through 'this' */
diff --git a/ets2panda/test/ast/compiler/ets/null_pointer_error.ets b/ets2panda/test/ast/compiler/ets/null_pointer_error.ets
index 4297f3c7fee22992dee5f2dd988bfc3f17f44834..b57521a84ff254e9c743e6c31ce804601dfd1641 100644
--- a/ets2panda/test/ast/compiler/ets/null_pointer_error.ets
+++ b/ets2panda/test/ast/compiler/ets/null_pointer_error.ets
@@ -23,6 +23,6 @@ export class AbstractDaoSession{
 
 /* @@? 1:3 Error TypeError: Cannot find type 'dataRdb'. */
 /* @@? 1:3 Error TypeError: 'ValueType' type does not exist. */
-/* @@? 17:62 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 17:62 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 19:17 Error TypeError: Cannot find type 'AbstractDao'. */
 /* @@? 20:16 Error TypeError: Type '*ERROR_TYPE*' can not be awaited, it is not a Promise. */
diff --git a/ets2panda/test/ast/compiler/ets/rest_compatible_type_check.ets b/ets2panda/test/ast/compiler/ets/rest_compatible_type_check.ets
new file mode 100644
index 0000000000000000000000000000000000000000..d52c59a34943985798a6773b96110c7bdc7f2f1b
--- /dev/null
+++ b/ets2panda/test/ast/compiler/ets/rest_compatible_type_check.ets
@@ -0,0 +1,121 @@
+/*
+* Copyright (c) 2025 Huawei Device Co., Ltd.
+* Licensed under the Apache License, Version 2.0 (the "License");
+* you may not use this file except in compliance with the License.
+* You may obtain a copy of the License at 
+* 
+* http://www.apache.org/licenses/LICENSE-2.0
+* 
+* Unless required by applicable low or agreed to in writing, software
+* distributed under the License is distributed on an "AS IS" BASIS,
+* WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+* See the License for the specific language governing permissions and
+* limitations under the License.
+*/
+
+
+/* 
+    Test Description: Following codes are to check if 
+    argument type is compatible with rest parameter in 
+    function, method decleration.
+*/
+
+// type alias
+type TEntity = Record<string, string>
+
+// aliased itarable type check
+function foo(... args: TEntity){
+    let it = args.$_iterator()
+    let count = 0
+    for(let i of it){
+        count++
+    }
+    return count
+}
+
+// Record type check
+function foo1(... args: Record<number, string>): number {
+    let it = args.$_iterator()
+    let count = 0
+    for(let i of it){
+        count++
+    }
+    return count
+}
+
+// Set type check
+function foo2(... args: Set<number>): number {
+    let it = args.$_iterator()
+    let count = 0
+    for(let i of it){
+        count++
+    }
+    return count
+}
+
+// Aliased array type check
+function foo3(... args: TEntity[]): number {
+    let it = args.$_iterator()
+    let count = 0
+    for(let i of it){
+        count++
+    }
+    return count
+}
+
+// fixed array type check
+function foo4(... args: FixedArray<number>){    
+    return args.length
+}
+
+// array type check
+function foo5(... args: double[]){
+    return args.length
+}
+
+// tuple type check
+function foo6(... args: [string, number]){
+    return args[0]
+}
+
+// derived iterable class
+class A implements Iterable<string> {
+    public data: string[] = ['1','2','3']
+    public $_iterator(): AIterator {
+        return new AIterator(this)
+    }
+
+    // array type check for a class method
+    public foo7(... args: string[]){
+        this.data[0] = args[0]
+    }
+
+    // Record type check for a class method
+    public foo8(key: number, ... args: Record<number, string>){
+        return args[key]
+    }
+}
+
+class AIterator implements Iterator<string> {
+    index = 0
+    base: A
+    constructor(base: A){
+        this.base = base
+    }
+
+    next() : IteratorResult<string> {
+        return {
+            done: this.index >= this.base.data.length,
+            value: this.index >= this.base.data.length ? undefined: this.base.data[this.index++]
+        }
+    }
+}
+
+// derived iterable class type check
+function foo9(... args: A): boolean {
+    return true
+}
+
+function main() {
+    let entity: TEntity = {"a":"b", "c":"d"}
+}
\ No newline at end of file
diff --git a/ets2panda/test/ast/compiler/ets/restvar_type_infer.ets b/ets2panda/test/ast/compiler/ets/restvar_type_infer.ets
index b24788ce952c404b8cba82b6471b3187d8868fe4..b0fdeab69b14cb74fbb391ffd607bd204dd38ff7 100644
--- a/ets2panda/test/ast/compiler/ets/restvar_type_infer.ets
+++ b/ets2panda/test/ast/compiler/ets/restvar_type_infer.ets
@@ -19,8 +19,8 @@ function main() {
 }
 
 /* @@? 17:14 Error TypeError: Cannot use type 'void' as value.  */
-/* @@? 17:16 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 17:16 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 17:16 Error TypeError: The type of parameter 'args' cannot be inferred */
 /* @@? 18:14 Error TypeError: Cannot use type 'void' as value.  */
-/* @@? 18:26 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 18:26 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 18:26 Error TypeError: The type of parameter 'args' cannot be inferred */
diff --git a/ets2panda/test/ast/compiler/ets/type_error_test2.ets b/ets2panda/test/ast/compiler/ets/type_error_test2.ets
index 08c72c921ab06fa7752e36ba967dfb6a2c01800c..9577786104413018765f7276c8e134f565b23136 100644
--- a/ets2panda/test/ast/compiler/ets/type_error_test2.ets
+++ b/ets2panda/test/ast/compiler/ets/type_error_test2.ets
@@ -15,7 +15,7 @@
 
 let f:(c:string, ...abe])=>void = (c:be ...abe])=>{}
 
-/* @@? 16:18 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 16:18 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 16:24 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 16:24 Error SyntaxError: Rest parameter must be the last formal parameter. */
 /* @@? 16:35 Error TypeError: Type '(c: *ERROR_TYPE*) => void' cannot be assigned to type '(c: String, ...abe: *ERROR_TYPE*) => void' */
diff --git a/ets2panda/test/ast/parser/ets/FixedArray/MultipleParserErrors.ets b/ets2panda/test/ast/parser/ets/FixedArray/MultipleParserErrors.ets
index 4b647af6a8464a13a0f8fc8a66329c457f7c0786..38a4bddf8ca829a30f4041ef8f464d7f6a1401ec 100644
--- a/ets2panda/test/ast/parser/ets/FixedArray/MultipleParserErrors.ets
+++ b/ets2panda/test/ast/parser/ets/FixedArray/MultipleParserErrors.ets
@@ -210,9 +210,9 @@ function main(): void {
 /* @@? 52:12 Error TypeError: All return statements in the function should be empty or have a value. */
 /* @@? 52:12 Error TypeError: Unresolved reference q */
 /* @@? 52:23 Error TypeError: Unresolved reference p */
-/* @@? 55:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 59:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 63:22 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 55:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Object' is provided. */
+/* @@? 59:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Int' is provided. */
+/* @@? 63:22 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 63:26 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 67:7 Error TypeError: Merging declarations is not supported, please keep all definitions of classes, interfaces and enums compact in the codebase! */
 /* @@? 67:7 Error TypeError: Variable 'A' has already been declared. */
@@ -229,8 +229,8 @@ function main(): void {
 /* @@? 92:7 Error TypeError: Merging declarations is not supported, please keep all definitions of classes, interfaces and enums compact in the codebase! */
 /* @@? 92:7 Error TypeError: Variable 'A' has already been declared. */
 /* @@? 93:3 Error SyntaxError: Unexpected token. A constructor, method, accessor, or property was expected. */
-/* @@? 103:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 104:21 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 103:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Byte' is provided. */
+/* @@? 104:21 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Byte' is provided. */
 /* @@? 115:26 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 115:26 Error SyntaxError: Unexpected token, expected ',' or ')'. */
 /* @@? 115:26 Error SyntaxError: Unexpected token 'case'. */
diff --git a/ets2panda/test/ast/parser/ets/FixedArray/unexpected_token_31.ets b/ets2panda/test/ast/parser/ets/FixedArray/unexpected_token_31.ets
index 37de6fe998ab731177911580d49d617a788b01c8..834b2feb5a4c7beb8afb212f84ce75876e0fdb24 100644
--- a/ets2panda/test/ast/parser/ets/FixedArray/unexpected_token_31.ets
+++ b/ets2panda/test/ast/parser/ets/FixedArray/unexpected_token_31.ets
@@ -18,7 +18,7 @@ function foo(...^number: FixedArray<int>): int {
 }
 
 /* @@? 16:10 Error TypeError: Only abstract or native methods can't have body. */
-/* @@? 16:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 16:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 16:17 Error SyntaxError: Unexpected token, expected an identifier. */
 /* @@? 16:18 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 16:18 Error SyntaxError: Rest parameter must be the last formal parameter. */
diff --git a/ets2panda/test/ast/parser/ets/MultipleParserErrors.ets b/ets2panda/test/ast/parser/ets/MultipleParserErrors.ets
index 257ff2bd18f6d3494ee020147d6c318bb66eeab7..7dcf7df61e4879514134da59bf10fdecccb69f11 100644
--- a/ets2panda/test/ast/parser/ets/MultipleParserErrors.ets
+++ b/ets2panda/test/ast/parser/ets/MultipleParserErrors.ets
@@ -207,9 +207,9 @@ function main(): void {
 /* @@? 52:12 Error TypeError: All return statements in the function should be empty or have a value. */
 /* @@? 52:12 Error TypeError: Unresolved reference q */
 /* @@? 52:23 Error TypeError: Unresolved reference p */
-/* @@? 55:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 59:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 63:22 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 55:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Object' is provided. */
+/* @@? 59:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Int' is provided. */
+/* @@? 63:22 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 63:26 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 67:7 Error TypeError: Merging declarations is not supported, please keep all definitions of classes, interfaces and enums compact in the codebase! */
 /* @@? 67:7 Error TypeError: Variable 'A' has already been declared. */
@@ -226,8 +226,8 @@ function main(): void {
 /* @@? 92:7 Error TypeError: Variable 'A' has already been declared. */
 /* @@? 92:7 Error TypeError: Merging declarations is not supported, please keep all definitions of classes, interfaces and enums compact in the codebase! */
 /* @@? 93:3 Error SyntaxError: Unexpected token. A constructor, method, accessor, or property was expected. */
-/* @@? 103:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@? 104:21 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 103:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Byte' is provided. */
+/* @@? 104:21 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'Byte' is provided. */
 /* @@? 115:26 Error SyntaxError: Unexpected token, expected an identifier. */
 /* @@? 115:26 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 115:26 Error SyntaxError: Unexpected token, expected ',' or ')'. */
diff --git a/ets2panda/test/ast/parser/ets/annotations_tests/annotationUsage_bad_param07.ets b/ets2panda/test/ast/parser/ets/annotations_tests/annotationUsage_bad_param07.ets
index d5077544840f5baec9e408280c5c401c4a4c1374..81a06a690b6d9304f477dcf3634db13e3abef84c 100644
--- a/ets2panda/test/ast/parser/ets/annotations_tests/annotationUsage_bad_param07.ets
+++ b/ets2panda/test/ast/parser/ets/annotations_tests/annotationUsage_bad_param07.ets
@@ -21,5 +21,5 @@
 
 function foo(@MyAnno ...a){}
 /* @@? 22:15 Error TypeError: The required field 'testProperty1' must be specified. Fields without default values cannot be omitted. */
-/* @@? 22:22 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 22:22 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 22:26 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
diff --git a/ets2panda/test/ast/parser/ets/rest_parameter_14.ets b/ets2panda/test/ast/parser/ets/rest_parameter_14.ets
index 73bbbb9eb079a4ae9c0701e4ac1a4f98d577a2e1..d548498baab74374bf1ecc249ea90b71e4e29c0c 100644
--- a/ets2panda/test/ast/parser/ets/rest_parameter_14.ets
+++ b/ets2panda/test/ast/parser/ets/rest_parameter_14.ets
@@ -21,5 +21,5 @@ class B {
   moo(/* @@ label2 */...i: A) {}
 }
 
-/* @@@ label1 Error SyntaxError: Rest parameter should be either array or tuple type. */
-/* @@@ label2 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@@ label1 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'A' is provided. */
+/* @@@ label2 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but 'A' is provided. */
diff --git a/ets2panda/test/ast/parser/ets/unexpected_token_31.ets b/ets2panda/test/ast/parser/ets/unexpected_token_31.ets
index 01374410c399cf735780f40ecf9857927f864423..38ef344262d618d90ec364f14973b0a2307c363a 100644
--- a/ets2panda/test/ast/parser/ets/unexpected_token_31.ets
+++ b/ets2panda/test/ast/parser/ets/unexpected_token_31.ets
@@ -18,7 +18,7 @@ function foo(...^number: int[]): int {
 }
 
 /* @@? 16:10 Error TypeError: Only abstract or native methods can't have body. */
-/* @@? 16:14 Error SyntaxError: Rest parameter should be either array or tuple type. */
+/* @@? 16:14 Error SyntaxError: Rest parameter can be applied only to array, tuple or any iterable type, but '*ERROR_TYPE*' is provided. */
 /* @@? 16:17 Error SyntaxError: Unexpected token, expected an identifier. */
 /* @@? 16:18 Error SyntaxError: Parameter declaration should have an explicit type annotation. */
 /* @@? 16:18 Error SyntaxError: Rest parameter must be the last formal parameter. */
diff --git a/ets2panda/util/diagnostic/syntax.yaml b/ets2panda/util/diagnostic/syntax.yaml
index 178787feee8c6a2d6b9dd71f1ac3e5cf33a9a079..50d71537459c734c3d4fcd22daad84a0829c3bd7 100644
--- a/ets2panda/util/diagnostic/syntax.yaml
+++ b/ets2panda/util/diagnostic/syntax.yaml
@@ -927,10 +927,6 @@ syntax:
   id: 181
   message: "Only ambient modules can use quoted names."
 
-- name: ONLY_ARRAY_OR_TUPLE_FOR_REST
-  id: 193
-  message: "Rest parameter should be either array or tuple type."
-
 - name: ONLY_SPREAD_AT_LAST_INDEX
   id: 143
   message: "Only one spread type declaration allowed, at the last index."
@@ -1051,6 +1047,10 @@ syntax:
   id: 15
   message: "Both optional and rest parameters are not allowed in function's parameter list."
 
+- name: REST_PARAMETER_OF_INVALID_TYPE
+  id: 193
+  message: "Rest parameter can be applied only to array, tuple or any iterable type, but '{}' is provided."
+
 - name: REST_PARAM_NOT_LAST
   id: 67
   message: "Rest parameter must be the last formal parameter."