The $1.25m 12-team event, dubbed the 'mini World Cup', will be staged between 10-25 September in England.
India have played Pakistan, who are the third seeds for the tournament, only in the World Cup in the last three years due to a government ban in 2000 on bilateral cricket owing to political tensions between the two countries.
The ban was lifted recently following a thaw in relations. The Indian team is scheduled to travel to Pakistan next March for its first full tour in 14 years.
Kenya complete the group.
Top seeds and world champions Australia were drawn with New Zealand, as they were in the 2002 tournament, while the third team in the group will be the winners of the ICC Six Nations Challenge in the United Arab Emirates in February and March next year.
England were drawn with Sri Lanka and Zimbabwe while second seeded South Africa, West Indies and Bangladesh make up the other group.
For the first time in the tournament's history, the seedings for the Champions Trophy were based on the official ODI ratings.
Pool 1: Australia, New Zealand, Qualifier (winner of ICC Six Nations Challenge)
Pool 2: South Africa, West Indies, Bangladesh
Pool 3: Pakistan, India, Kenya
Pool 4: Sri Lanka, England, Zimbabwe
Pool winners qualify for the semi-finals.
