The European Tour will be known as the DP World Tour from the start of the 2022 season, its 50th year, with total prize money of more than $200m ($A270m), double that in 2021.
All tournaments solely sanctioned by the DP World Tour will have a minimum prize fund of $2m ($A2.7m), with at least 47 events scheduled in 27 different countries.
For the first time three tournaments will be co-sanctioned with the PGA Tour as part of the strategic alliance signed between the two organisations last year.
The lucrative Rolex Series expands from four tournaments to five with the addition of the Dubai Desert Classic, while the season-ending DP World Tour Championship features a prize fund of $10m ($A13.5m) - the first regular European Tour event with an eight-figure purse.
European Tour chief executive Keith Pelley said the title change better reflects the global nature of the tour.
On the 2022 schedule, only 23 of the 47 events will be staged on European soil.
"In many way, it's a misnomer," Pelley said of the European Tour's current title. "We are definitely a world tour."
"We will always remember our heritage," Pelley added, "and those who have gone before us who helped us shape our tour ... but we also rejoice in our global footprint."
The new deal will inevitably be seen as part of a response to the threat posed by potential rival circuits, with former world No.1 Greg Norman fronting a series of Saudi-backed tournaments on the Asian Tour and the Premier Golf League hoping to become involved with the PGA Tour.
In a video message, four-time major champion Rory McIlroy said the deal was a "great news for global golf."
Tommy Fleetwood, who was the Race to Dubai champion in 2017, said it provided "stability" and "excitement" to golfers on the tour.
DP World, a Dubai-based logistics company, has sponsored the season-ending event on the European Tour which has been held in Dubai since 2009 and called The Race to Dubai. It was previously the Order of Merit.