Iran earned the upward move thanks to its three consecutive victories in the group stages of the Qatar games in January, the world soccer's governing body reported on Wednesday.
The Iranian outfit won defending champion Iraq 2-1, World Cup finalist North Korea 1-0, and the United Arab Emirates 3-0 at the 2011 Asian Cup.
However, the Iranian squad, led by Afshin Qotbi, failed to reach the semifinal of the event after it was defeated 1-0 during the extra time against South Korea in the quarterfinal.
Japan, which won Australia at the 2011 Asian Cup final and the title for a fourth time, became 17th, moving up 12 steps.
Australia jumped five to Number 21, semifinalist South Korea rose seven to Number 32, and Uzbekistan also moved upward thirty-one to Number 77.
Host country Qatar, which also will hold the 2022 World Cup, rose 15 to Number 90 after reaching the quarterfinal.
Other climbers were Jordan (Number 84, up 23) and Iraq (Number 88, up 10).
The 2010 World Cup champion, Spain, led the January FIFA rankings, followed by the Netherlands, Germany, Brazil and Argentina.