Van Basten was coach of the national team from 2004 to 2008, a tenure that included the 2006 World Cup and 2008 European Championship.
He made 58 appearances for the Netherlands during a distinguished playing career as a striker, and played a pivotal role in its 1988 European Championship triumph.
His most recent role was as assistant coach at Eredivisie side AZ Alkmaar but he took the tough decision to leave and has now signed a deal with the Dutch Football Association (KNVB) until the end of July 2018.
“I’m really looking forward to this interesting job and also look forward to the renewed collaboration with Danny Blind,” Van Basten said.
“I had to make a difficult choice, because the role at AZ was to my liking. Blind convinced me of the challenge of the national team.”