Oscar Tabarez's side have jumped 13 places in the listings, with Chile and Peru also taking leaps forward, whilst a number of European nations have seen drops in their standingsUruguay have jumped 13 places up to fifth in Fifa's world rankings following their Copa America success this summer, whilst England and Italy have both dropped two positions respectively.
Oscar Tabarez's side claimed glory by beating Paraguay 3-0 in the tournament final, and gained 247 points with the sport's governing body.
Other South American teams to benefit are Chile, who move up 16 places to 11th, and Peru, who have moved up 24 places to 25th.
The top three are unchanged, as Spain lead the way, followed by Netherlands in second and Germany in third. Fabio Capello's England fall to sixth, while the Italians drop to eighth, behind unchanged Portugal in seventh.
Croatia have been demoted one place to ninth, whilst Copa America disappointments Argentina stay in 10th place.
France find themselves down in 15th, chasing the likes of Norway, Greece and the Ivory Coast. Laurent Blanc's side's lowly ranking means that they are in pot two for World Cup qualifying for the 2014 tournament in Brazil, and will be drawn in the same group as one of the biggest European nations.