IMF Chief Christine Lagarde was nominated to lead the European Central Bank.

American economist David Lipton will serve as interim leader of the International Monetary Fund, replacing Christine Lagarde who was nominated to head the European Central Bank, the IMF board announced Tuesday.

"We accept Ms. Lagarde's decision to relinquish her IMF responsibilities temporarily during the nomination period," the board said.

"We have full confidence in First Deputy Managing Director David Lipton as Acting Managing Director of the IMF."