The 37-year-old lifted the trophy as Italy captain in 2006, but has spent the last year playing for Al Ahli in the United Arab Emirates.

Cannavaro had hoped to return from a serious knee injury, but has made the decision to retire on medical advice.

"I'm very sad. Football is everything for me in my life," Cannavaro told reporters in Dubai.

"It's not a simple thing. Everyone says it has to come. But when it comes, it's a decision you have to face.

"I came back to Dubai to continue training. Unfortunately, the medical examiner didn't permit me to continue."

Cannavaro began his career at Napoli and went on to star for Parma, Inter Milan, Juventus - where he had two spells - and Real Madrid.

But the crowning moment of his career came in Berlin on July 9, 2006 when Italy beat France in a penalty shoot-out, following a 1-1 draw, to win the World Cup.

He won FIFA's World Player of the Year award on the back of his outstanding performances at the heart of the Azzurri defence during the tournament, and he went on to become Italy's most-capped player, making 136 appearances from 1997 to 2010 before retiring from the international game after last year's dismal showing in South Africa.

Cannavaro also announced his intention to remain with Al Ahli as a technical adviser for the next three years, and club president Abdullah al-Naboodah believes he will have a tremendous impact on the younger players in the squad.

"His 19 years of experience will definitely benefit the club," Al-Naboodah said.

"Fabio is a World Cup winner and played at the highest level in Europe. All that on his CV will benefit us at Al Ahli.

"I always said Fabio is one of the best assets the club has ever got in terms of professionalism, in terms of attitude, in terms of teaching the younger generation.

"Everything he brought to this club still remains. He has been great for the club."