The Australian joins the Dubai side after spending just one season in the Premier League and is keen to boost his World Cup hopes with regular matches
The Australia international, who joined the Midlands club on a free transfer in the summer of 2012, made 27 Premier League appearances last season but only managed 16 starts.
And after agreeing a move away from the Premier League, the 29-year-old is now looking forward playing for Dubai-based side Al Nasr.
“It was difficult but a decision that I know I have made with 100 per cent of my heart,” Holman told reporters.
“It’s a step I wanted to make – it is a fantastic project and it’s definitely a big challenge and something I am looking forward to.
“I played under some fantastic coaches, I learnt a lot about football and maybe I can bring that experience to this club and show what I have learnt under Dick Advocaat, Louis Van Gaal and Ronald Koeman.”
Holman was part of the Australia side which qualified for the 2014 World Cup in Brazil, and hopes to earn a regular place at Al Nasr to boost his chances of making the international squad next summer.
“It’s very important, every player wants to play every game if possible,” he added.
“Obviously there is another goal for me, playing in a World Cup and it is my ambition to play every game for Al Nasr and [getting in the World Cup team] is definitely a goal for me.”