Personally, I think the Vatican would be better off forming its own domestic league. Or start competing in UEFA and trying to qualify for the World Cup. I suppose a Vatican team would be on the road a lot as there's not a lot of space for a stadium. But do we really need a Sistine Chapel or St. Peter's when we could build a high quality state of the art soccer stadium.
Think big. Maybe the 2014 World Cup will be held entirely in the Vatican!