The former Oasis star will be joined by other artists including Blossoms, The Courteeners and Rick Astley at the event next month.
The venue has been closed since it was targeted by a suicide bomber at an Ariana Grande concert in May, which left 22 people dead and many others injured.
The ‘We Are Manchester’ concert, headlined by Noel Gallagher’s High Flying Birds, will re-open the venue on September 9.
Poet Tony Walsh, who performed his poem ‘This Is The Place’ at a vigil the day after the attack, is also part of the line-up.
More acts are expected to be announced in the coming weeks with all profits from the event going towards establishing a permanent memorial to the victims.
Gallagher’s performance will have special significance as the Oasis track ‘Don’t Look Back In Anger‘ has became an anthem of solidarity after the bombing.
His younger brother Liam appeared at Grande’s One Love Manchester benefit concert and criticised Noel for not showing up.
Councillor Sue Murphy said: ‘No one will ever forget the terrible events of 22 May but Manchester has reacted with love, solidarity and a determination to continue doing the things which make this such a vibrant city.
‘We welcome the reopening of the arena, a major venue which attracts hundreds of thousands of visitors, as a powerful symbol of this defiant and resilient spirit.’
While Manchester Arena’s general manager James Allen added: ‘May’s events will never be forgotten, but they will not stop us – or Mancunian music fans – from coming together to enjoy live music.
‘Manchester Arena has celebrated over 20 years hosting some of the greatest musical talent of all time, and the significant economic and cultural impact that this has on the city means that this legacy must continue.
‘Public safety is always our priority and we are doing all we can to keep people safe at our venue.’
There will be extra security and ID checks at the event. Fans have been asked not to bring bags bigger than 35cm x 40 cm x 19cm.
Tickets for the show, which are priced £25 and £30, go on sale at 9am on Thursday, August 17.