The FIFA Council unanimously voted for the Saudi Arabian Football Federation to stage the event, which includes the six continental champions plus the host's national champions.
The tournament will take place from December 12th-22nd.
Earlier this month, Saudi Arabia was selected by the Asian Football Confederation to host the 2027 Asian Cup.
The country has previously hosted sporting events including this year's Spanish Super Cup, 2022's world title fight between Oleksandr Usyk and Anthony Joshua and the Riyadh Grand Prix.
The FIFA Council meeting also confirmed changes to the structure of the Club World Cup, with approval for an expanded 32-team tournament from 2025.
UEFA will have 12 places and CONMEBOL six, while CONCACAF, CAF and the AFC will each have four, with one place for the OFC and another for the hosts.
The FIFA meeting also confirmed that the United States, Mexico and Canada will automatically qualify for the 2026 World Cup as joint hosts of the tournament, with their places being deducted from CONCACAF's overall allocation of six.
