The Swiss star has spent a record of 302 weeks at the top of the ATP rankings but he is currently in 10th spot after missing the latter half of last year due to injury.
Federer claimed the Australian Open crown earlier this year and is through to the final at Indian Wells, where he will face compatriot Stan Wawrinka on Sunday.
The 35-year-old says reclaiming the top spot in the rankings is not a major priority and he feels it will be hard as he has reduced his schedule to ensure he remains fit.
However, the 18-time Grand Slam champion believes he may be able to move back to the top if he wins another major this season.
"Well, because I'm not going to be playing so much, you would think I would need to win probably another Grand Slam for that to happen" Federer said, as reported by Tennis World USA. "Because I have one in the bag, I guess there is a possibility. Plus I'm playing well here [Indian Wells] again, away from the Grand Slams. But the Grand Slams give so many points that that's probably where I would have to make a huge run again. And maybe one is not enough, as well, because they [his rivals] will pick up their level of play."
He added: "They will pick up their game, and they're going to win tournaments again. So, for me, just because Novak [Djokovic] might not play Miami and Andy is not, and I'm in the finals here, it doesn't change anything in my scheduling.
"I'd love to be world No. 1 again. But anything else other than world No 1 for me is not interesting. So that's why the rankings is not a priority right now. It's totally about being healthy, enjoying the tournaments I'm playing and trying to win those."