The 56-year-old led the Quito side to the domestic title in 2003 but quit to coach the Uruguayan national squad. He will return to the club to replace Argentine Edgardo Bauza, who will stand down after the FIFA showpiece.

"I will return with my assistants to a club I love a lot. I am proud to return there being loved and supported," said Fossati to teledeportes.com.py.

"When I left Liga it was because I had to coach the national squad of my country and now, despite having better financial offers, I prefer to come back because of my feeling to them. Not everything is money in life," he added.

The former Penarol, Cerro Porteno and Qatar national team coach will replace Bauza next season with the team currently preparing for the Club World Cup in Japan.

Fossati added: "Coaching the Libertadores winners is very motivating and a beautiful challenge.

"I will begin work on January 8 with my assistants Eduardo Del Capellan and Alejandro Valenzuela."