Montemurro appointed new Australia women's football coach
The 55-year-old, who steered French powerhouses Lyon to their fourth consecutive women's league title last month, said it was "the honour of a lifetime".
"This team means so much to so many Australians, and I'm humbled by the opportunity to help shape its next chapter," he said.
"I've followed their incredible journey closely and am energised by the passion, resilience, and identity they've built."
The Matildas captivated the nation and won legions of new fans with their run to the last four of the World Cup on home soil in 2023.
But an underwhelming Paris Olympics last year saw Tony Gustavsson depart and they have been without a permanent head coach since.
Tom Sermanni, a 70-year-old Scot, has been in temporary charge during a protracted recruitment process, with the side sliding to 16th in the world.
"Joe brings world-class experience, a deep understanding of the Australian football landscape, and a genuine connection to our national identity," said Football Australia interim chief Heather Garriock.
"Importantly, he has spent the last decade coaching at the very highest levels of the women's game in Europe and brings with him an unparalleled understanding of what is required to compete and succeed at the top of modern football."
Montemurro, who won trophies with women's teams at Lyon, Juventus, Arsenal and Melbourne City, will lead the Matildas to the Asian Cup on home soil next year, then through qualifying for the 2027 Women's World Cup.
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