Kieron Pollard, a former West Indian all-rounder, took over as captain of MI Cape Town in the SA20 competition, which begins on January 10.
The Cape Town outfit had picked ace leg-spinner Rashid as their skipper initially, but the Afghan is still recovering from an injury.
“Rashid Khan is unavailable currently, as he continues his recovery from injury. The MI CT wish Rashid a quick recovery and look to have him back on the playing field soon,” the franchise said in a media statement.
Rashid has been chosen to Afghanistan’s side for a three-match T20I series against India, but he is unlikely to play.
On January 11, the MI Cape Town will kick off their tournament campaign against the Durban Super Giants.
Leading players on the Cape Town team include Kagiso Rabada, Rassie van der Dussen, Sam Curran, Jofra Archer, and Liam Livingstone.
Meanwhile, MI Emirates has named West Indian batsman Nicholas Pooran as their ILT20 skipper.