The 30-year-old, who fought back after being diagnosed with a rare germ cell cancer last year, forced his way back into the squad after commendable performances in the domestic circuit.
Harbhajan also got the nod from the new selection panel headed by former Test cricketer Sandeep Patil more than a year after his last appearance in a five-day game.
There were no major surprises by the selectors, who dropped Suresh Raina to accommodate Yuvraj while Harbhajan made his way at the expense of injured leg-spinner Piyush Chawla.
Sachin Tendulkar, the seniormost member of the squad, will provide solidity in an otherwise inexperienced middle-order line-up which will also have the in form Virat Kohli. Cheteshwar Pujara and Yuvraj will be the others in the middle order.
Tamil Nadu opener Murali Vijay was also named in the squad as a reserve opener though the selectors retained the experienced duo of Virender Sehwag and Gautam Gambhir despite both of them going through a form slump for a long time.
Vijay replaced S Badrinath, who featured in the last Test against New Zealand in August.
Pace spearhead Zaheer Khan, whose fitness was under the scanner after he limped off the field during a Ranji Trophy match yesterday, has also been retained apparently after getting the physio's nod. Umesh Yadav and Ishant Sharma are the two other pacers in the squad. MORE