Former QPR striker Dowie handed the reins at Loftus Road

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The 43-year-old, who spent three years with Rangers as a player and also had stints as caretaker boss and assistant manager, has signed a two-year contract at Loftus Road.

"This is a very exciting long-term project," said Dowie.

"I'm very privileged to have been given the opportunity under the new ownership to return to the club where I served my managerial apprenticeship.

"I've been thoroughly impressed by the new investors and their fresh, aggressive and innovative approach to all sporting matters, as well as the marketing and commercial aspect of this football club.

"QPR is a fantastic club, with a successful history and I'm going to relish the challenge that lies ahead."

Dowie replaces Italian coach Luigi De Canio, who parted company with the club last week after guiding them off the foot of the Championship to a 14th-placed finish in his eight months in charge.

A former Northern Ireland striker, Dowie led Crystal Palace from the relegation zone to the Barclays Premier League in 2004 via a play-off final victory over West Ham.

He has also managed Oldham but had less successful stints in charge of Charlton - where he lasted just 12 Premier League games - and most recently Coventry, who released him from his contract in February.

Dowie is expected to be given significant funds to mount a promotion push by owners Bernie Ecclestone, Flavio Briatore and Lakshmi Mittal who splashed around £5million in the January transfer market and have already signed Tottenham goalkeeper Radek Cerny and Newcastle defender Peter Ramage this summer.

Rangers sporting director Gianni Paladini said: "Iain Dowie has a proven track record in the Championship and we are delighted to have him on board."