The Afghan all-rounder made an instant impression in his first Big Bash season last summer, playing the first seven matches and ending the campaign with eight wickets at the miserly economy rate of 5.77.
Nabi also blasted 52 runs off 30 balls in a Man of the Match performance against Melbourne Stars.
“I really enjoyed my first summer playing in the Big Bash and I’m excited to be coming back,” Nabi said.
“We had a great team last season, I met some wonderful people and the guys made it really easy for me to settle in.
“The fans were really supportive too and hopefully we can have another strong season for them.”
Nabi captained his Afghanistan Premier League side to victory in a T20 final earlier this month.
He’ll join the Renegades in December and will be available for the entire BBL|08 campaign.
Renegades Head Coach Andrew McDonald said having Nabi available for the whole season is a significant boost.
“He’s an experienced and intelligent cricketer who added a lot to our group last season,” he said.
“He was really effective with the ball and showed what he can do with the bat particularly in that match against the Stars.
“We probably missed him a little bit at the back end of last season so to have him for all matches this time around is a massive bonus and we’re excited about what he’ll be able to bring this summer.”
The Renegades have almost completed their playing roster with just one international spot yet to be announced.
Renegades squad: Aaron Finch (Capt.), Cameron Boyce, Dan Christian, Tom Cooper, Zak Evans, Marcus Harris, Mackenzie Harvey, Jon Holland, Tim Ludeman, Joe Mennie, Mohammad Nabi, Kane Richardson, Will Sutherland, Chris Tremain, Beau Webster, Cameron White, Jack Wildermuth.
Coach: Andrew McDonald
List Manager: Andrew Lynch