FIFA acted after the Iraq government last week disbanded all the national sporting bodies including the IFA.

The Iraqi government now has until May 29 - just two days before the vital WCQ against Australia - to backtrack and reinstate the football officials.

If they don't, FIFA have threatened them with a one year ban starting on May 30.

FIFA has yet to spell out the consequences of suspending the Iraqi Football Association but it would appear impossible for Iraq to play Australia while the official body is banned.

The Socceroos would almost certainly be awarded the match by forfeit.

A FIFA statement tonight confirmed: "On the first day of its meeting in Sydney, the FIFA Executive Committee decided to suspend the Iraqi Football Association (IFA) as of today following the governmental decree passed on 20 May which dissolved the Iraqi National Olympic Committee and all national sport federations, including the IFA.

"The FIFA Executive Committee also decided that the case of the Iraqi Football Association would be presented to the FIFA Congress on 30 May for suspension until the FIFA Congress in 2009, namely one year.

"However, the suspension decided upon today may be lifted if FIFA receives by 29 May, midnight (Sydney time) written confirmation from the Iraqi government that the decree has been annulled."