H.R.5488 - Federal Government - To provide for the recovery and stability of Iraq, and for other purposes.

Recovery and Stability of Iraq Act of 2008 - Establishes within the Executive Office of the President the position of Iraqi Displacement Coordinator who shall identify programs that address the humanitarian needs of displaced Iraqis and who shall advise and coordinate with the heads of appropriate U.S. departments and agencies, the government of Iraq, countries hosting displaced Iraqis in the region, the United Nations, and other involved nongovernmental and international organizations.

Directs the Coordinator to: (1) design a comprehensive strategy to address the needs of displaced Iraqis; and (2) encourage the government of Iraq to develop a long-term plan for the voluntary and safe return of displaced Iraqis to their homes.