Heimir Hallgrimsson has stepped down as Iceland coach after seven years with the team, the Football Association of Iceland (KSI) said on Tuesday.
The 51-year-old guided Iceland to their first World Cup in Russia where they were eliminated in the group stage.
"The FA of Iceland can now confirm that Heimir Hallgrimsson will not continue as head coach of the Icelandic men´s national team," KSI wrote on Twitter.
"Hallgrimsson steps down as Iceland coach at his own request after seven years in the job, having joined in 2011."
Hallgrimsson was the co-coach with Lars Lagerback when Iceland reached the Euro 2016 quarterfinals after beating England in the round of 16.
Following Lagerback's departure, Hallgrimsson took sole control of the team and they became the smallest country by population to qualify for the World Cup.
They lost two out of three matches in Group D at the tournament, but produced a resilient display to draw 1-1 with former world champions Argentina.