Real Madrid midfielder Luka Modric admits Croatia's World Cup qualifying is on the brink of "catastrophe".

Iceland are destined to top the group ahead of their match with lowly Kosovo, while Croatia travel to Ukraine knowing defeat would dump them out of the remaining play-off spot.

"All was well until the game against Iceland and, suddenly, it could all be for nothing," admitted Modric.

"Honestly, that's the reality right now.

"The situation is catastrophic, but we still have a chance."