The 56-year-old former Argentina star has been tasked with guiding Al-Fujairah, fourth in the second tier, into the UAE Arabian Gulf League.
The role is Maradona's second job in the UAE, where he previously coached Dubai-based club Al Wasl during the 2011-12 season but was sacked after 14 months in charge with a record of seven wins from 22 games.
Maradona has previously coached the Argentina national team as well as Racing Club and Mandiyu de Corrientes in his home country.
A statement on the club's Twitter feed on Sunday read: "Officially: Maradona as coach of Fujairah"
Maradona himself wrote on his official Facebook page: "I want to tell you that I'm the new coach of Al-Fujairah SC, in the second division of the United Arab Emirates."
Attaching a picture of himself posing with an Al-Fujairah shirt with his name and his famous number 10 on the back, he added: "Here are my new colours!"
Maradona won the 1986 World Cup with his country and reached the final four years later, and twice won Italy's Serie A with Napoli.
His career also took in Barcelona, Sevilla and his beloved Boca Juniors and he is typically mentioned alongside ex-Brazil striker Pele in discussions about the best player of all time.