Yes, he's being sarcastic. Fight about it here.
One wonders what it would take for the Vatican to condemn Saddam's regime. Baathism consecrates an entire country to the worship of a single human being. Its dictator has mosques named after himself. I'm not the expert on piety, but isn't there something blasphemous about this from an Islamic as well as a Christian viewpoint? I suppose if Saddam came out for partial-birth abortions or the ordination of women or the acceptance of the homosexual lifestyle he might be hit with a condemnation of some sort.