Diawara was initially appointed interim head coach of the Syli Nationale following the sacking of French trainer Didier Six about a month ago.
Six was relieved of his duties after an abysmal showing in the 2022 FIFA World Cup qualifications.
The Syli Nationale finished 3rd on the Group I standings as they failed to secure a single in six matches, drawing four times and losing back-to-back to group winners Morocco.
The 45-year-old former striker made 10 appearances for Arsenal in 1999 after signing from Girondins Bordeaux.
Diawara went on to play for Olympique Marseille and Paris Saint-Germain
Diawara also had loan spells at West Ham United, Blackburn Rovers, Stade Rennais, OGC Nice, Racing Ferrol and hung his boots in 2011.
Guinea will be counting on Liverpool star Naby Keita, Mady Camara and Mohamed Bayo at Africa’s biggest football tournament in Cameroon starting 9 January 2022 to 6 February.