The Football Association of Ireland last night welcomed a preliminary recommendation by Fifa that all players born on the island of Ireland should have the right to decide which of its two international football teams they wished to play for.

The suggestion comes after the Irish Football Association (IFA) had sought a ruling to the effect that players born in the north could only declare for the Republic if they qualified in the same way that players born anywhere in the rest of the world would have to.

The loss of Manchester United's Darron Gibson had prompted the IFA to pursue the issue but after the young midfielder made his senior debut for the Republic in Denmark it was widely accepted he would not be affected by any decision taken now.

The IFA essentially argued that as the Republic had dropped its claim to the six counties as part of the peace process the FAI should, in effect, be compelled to drop its claim to the players born there.

This was strongly contested by the FAI which argued that nobody, not even young footballers wishing to declare for the Republic, should be disadvantaged as a result of the Belfast agreement.

What Fifa is suggesting is essentially a compromise, offering the IFA the prospect of persuading disaffected players from the south to play for them. Merrion Square may be less than enthusiastic about the idea, the legal basis of which seems rather dubious, but there is some scepticism regarding the number of players who would want to avail of this new opportunity.

Both associations will have time to consider the matter and respond before Fifa's executive committee makes a final decision, most likely next year but FAI chief executive John Delaney was upbeat when asked about the news yesterday.

"In principle we are very happy with the decision," he said, "and delighted that common sense has prevailed. We will discuss and evaluate the proposal put forward. We have worked hard behind the scenes with Fifa to reach a compromise which was right. It is good news for Irish football."