Australia has qualified for the knockout stage of the FIFA under-17 World Cup in Chile after New Zealand defeated Paraguay 2-1.

The Joeys, who kept their Cup hopes alive courtesy of a 2-1 victory over Argentina on Sunday morning, are now guaranteed qualification in the final 16 as one of the four best third-placed group finishers.

Australia, which also drew with Mexico to finish on four points, qualifies for the finals for the ninth time in history of the tournament, with its best result coming in 1999 when it lost the final to Brazil on penalties.

The Joeys will now face Nigeria or Korea Republic on Wednesday, while New Zealand also qualified on Monday morning for the next stage of the tournament following its final-minute victory.

AAP