In the 18 months since moving to north London from Marseille, N'Koudou is yet to have been given a top flight start by Spurs, making just 23 appearances in all competitions under Mauricio Pochettino.
The Frenchman has struggled to adapt to life in England at Tottenham but a fresh start awaits at Burnley, who occupy seventh place in the Premier League after a stunning start to the campaign.
According to L'Equipe, Saint-Etienne, Real Betis, Malaga and Fiorentina were all interested in taking N'Koudou on loan for the rest of the season but the 22-year-old sided with Burnley after speaking with former Clarets defender Kieran Trippier.
"When I spoke with Trippier he told me good things about this club, about the players and everything about Burnley. I am happy to be here, so thank you Trippier," Nkoudou told Burnley's official website.
"I think it's a big opportunity to play my first minutes this season in the Premier League. Everyone is shocked because Burnley is just after the big six. They have played very well.
"I watched the last game against Liverpool when they played very well and were unlucky. That's why I have come here, to find football. I knew he [Sean Dyche] is a big manager who likes young players and players who go forward, so it suits my character to come here and I am happy to work with him.
"I hope to help the club. If I can, I will. But the last word is with the manager. If he puts me on the pitch I will do everything to help the team go forward. I am ready to play and waiting on the starting blocks. If the manager puts me on the pitch I will do everything on the pitch."
N'Koudou's departure to Burnley is not likely to signal the end of his Tottenham career, with reports in France stating that Pochettino and chairman Daniel Levy are hopeful the player can improve further and want him to return to the club at the end of the campaign.
Confirmation of the deal on Burnley and Tottenham's respective websites include no mention of any long-term arrangement going forward, meaning a permanent switch to Lancashire appears unlikely.
Pochettino has long held an interest in the England midfielder, who moved to Stamford Bridge for £15m, but believes better players will be available to last season's Premier League runners-up in the summer, according to The Evening Standard.