The six-team competition will get underway on January 13 next year in UAE.
While Narine has the experience of playing in various T20 leagues across the globe, the leadership role is a "new challenge" for him.
"I am very excited to take up the role as captain of Abu Dhabi Knight Riders. It is a new challenge, because now I have to think about the functioning of our whole team, rather than just focus on my game or my four overs," Narine said in a statement.
"It is something I am really looking forward to. I have grown on Knight Riders, and Knight Riders have grown on me, so it is like a family. Everywhere they have a team, I love being a part of it. I have played a lot of cricket in the UAE, so I know the conditions pretty well.
"If you look at the ADKR squad, it is a familiar setup, and not a brand new XI that I have to get used to. So that gives me great confidence, knowing the strength of my players. There are a lot of senior guys in the team as well, who I can bounce ideas and information off. It is going to be a lot of fun, it has been a long journey with the Knight Riders family, and I hope it is a never-ending one," he added.
The inaugural edition of ILT20 will get underway on January 13, 2023. The final of the brand-new league will be played on February 12.
The tournament will see six teams facing each other twice during the league-stage encounters. The top four teams will then play one eliminator and two qualifiers to identify the two finalists.