Daruvala will join his 2022 teammate Dennis Hauger at MP Motorsport, with both drivers making the jump from Prema Racing after being impressed by the Dutch outfit's stellar title-winning campaign last year.
The Indian driver enjoyed his best season so far in F2 last year, scoring a maiden feature win at Monza en route to seventh in the standings.
However, his results fell below expectations for a driver of his experience and he was dropped from the Red Bull junior scheme after three years in the programme.
Daruvala will combine his F2 commitments with his newly-announced reserve drive duties with Mahindra Racing in Formula E, which could potentially include practice outings as part of a new regulation introduced to the category this year.
"I'm really pleased to be back in FIA Formula 2, and to be able to team up with MP Motorsport makes it extra special", said Daruvala.
"Last year, I was stunned by MP's remarkably consistent front-running pace, and in 2023 I hope to be the beneficiary of that myself!
"Together with Dennis, I'm confident that our combined experience and speed will contribute to MP fighting for wins once again. I really enjoyed working with the team in the post-season test and look forward to 2023 testing and the season that lies ahead."
MP Motorsport powered Felipe Drugovich to the 2022 drivers' and also clinched the teams' championship in what was the outfit's most successful season to date in GP2/F2.
It has opted for an all-new line-up in 2023, with Drugovich not allowed to return to the series as the defending champion as per regulations and Clement Novalak moving to Trident.
Both Daruvala and Hauger first drove for MP Motorsport during the post-season F2 test in Abu Dhabi at the end of last year.
"We are delighted to welcome Jehan to our FIA F2 team", said Sander Dorsman, MP's team principal.
"He has been a consistent frontrunner right from his debut in the category, taking wins in every F2season he has competed in.
"His experience will be of great value to the team, so we are very much aiming for a repeat of last year's form.
"Also, matching him up with Dennis will allow us to build on a smooth cooperation between teammates who already know each other well. With such a strong driver pairing for 2023, I can't wait to go racing!"
