The Republic of Ireland have fallen six places to 42nd in the latest FIFA rankings.
2012 saw only two competitive victories for Giovanni Trapattoni's side - an uninspired 2-1 victory over Kazakhstan in their opening World Cup qualifier and a 4-1 success against the Faroe Islands.
Spain finish the year at the top spot, with Germany and Argentina remaining in second and third respectively, while Italy move into fourth spot. England occupies sixth spot.
The 2014 World Cup hosts Brazil have dropped to 18th as a result of playing only non-competitive matches and suffering losses in their friendly games last month.
Northern Ireland rise four places to 96th.