In recent weeks, there have been many names linked to the vacant Iran national coach post.
But, the IFF have yet to appoint the new Iran manager, with the World Cup qualifying match against Syria just two weeks away.
According to media reports on Thursday, officials in the IFF have settled on ex-Spain boss Javier Clemente to take charge of Iran's national team.
An IFF spokesman revealed that its officials and Clemente were negotiating terms in Frankfurt, Germany. And, an initial agreement was reached on Wednesday night.
Naser Shafaq, a member of the IFF presiding board, divulged that the federation and Clemente have reached an agreement on the general aspects of his contract. The finer details in his contract, however, will be ironed out with further discussions.
He said: "[Javier] Clemente is willing to bring his three assistants to Tehran but the federation has accepted only two of his assistants."
Shafaq also added that negotiations will continue with the ex-Athletic Bilbao coach.
"Talks with Clemente will continue till this evening and probably will be finalized by tonight," he added.