The midfielder is expecting a titanic tussle on Sunday but remains confident his nation can emerge victorious.
Vicente del Bosque's men were criticized following their semifinal victory against Italy, and only prevailed after winning the penalty shoot-out 7-6.
But Iniesta remains confident in the quality at la Roja's disposal and is relishing the prospect of attempting to defeat Brazil in its own backyard.
"Brazil is a great team with fantastic players and has had a superb tournament. Challenges don't come any bigger than beating them on their turf," the Barcelona midfielder acknowledged to Cadena Cope. "But we also have a really good side that is capable of performing to an extremely high level, whoever plays, and we have no qualms about saying that we're going for the title.
"This is the last game and the team will try to give a hundred percent. It's an enormous challenge. We will draw on every last ounce of energy."
The Selecao triumphed 2-1 against Uruguay in Wednesday's semifinal and will be eager to defend its Confederations Cup title against the reigning European and world champion.