Saudi Arabia said on Sunday Iraq must have what he called a legitimate and independent government before Arab countries would consider sending forces.
The new Iraqi interim government, which the United Nations helped form, is set to take over from US-led occupation authorities on June 30 and hold office until national elections due in January.
Saudi Foreign Minister Prince Saud al-Faisal said he welcomed the interim government and hoped it would "respond to the aspirations of the Iraqi people for forming of a legitimate government...and regaining complete Iraqi sovereignty".
"For Arab states to be capable of sending forces to Iraq there must be a request from a legitimate and independent Iraqi government," Saud told a news conference.
"The request cannot come from a government which does not have full sovereignty," he said.
Iraqi officials have said they want Arab troops to replace US-led forces. The Arab League has said there was a possible role for Arab forces only once foreign occupiers left.
Washington has said its troops will remain in Iraq after June 30 to help combat guerrilla attacks.
Saud said Riyadh would establish diplomatic ties with Baghdad once security returned to Iraq.