However, she did not provide any other reason apart from saying that she believes in term limits.

"It's been eight years of intense time, and I'm a believer in term limits," Haley told journalists, appearing alongside President Donald Trump.

Lauding Haley for her services, Trump said she was incredible.

"She has done an incredible job, she is a fantastic person, very importantly, but she is also somebody that gets it," Trump said.

He added that hopefully the former South Carolina governor will come back in a different capacity.

"Hopefully you'll be coming back at some point, right," the US President said.

"Maybe a different capacity, you can have your pick."

Haley also dismissed speculations that she will be running for the Presidential elections in 2020 and would challenge the incumbent.

Trump announced that he will look for Haley's replacement within two or three weeks.

Speaking to journalists, he said that his daughter, White House advisor Ivanka Trump, would be 'dynamite' as an ambassador, but added that people would accuse him of nepotism if he goes ahead with such a plan.

However, hours after the US President's statement, Ivanka took to Twitter to clear the air as she congratulated Haley for her job and said that she would not be the one to take up the vacant post.

"It is an honor to serve in the White House alongside so many great colleagues and I know that the President will nominate a formidable replacement for Ambassador Haley. That replacement will not be me," Ivanka said.

Trump has also hinted that his former deputy security council adviser Dina Powell may become the next US ambassador to the UN.

Image: twitter.com/USAmbUK