US Treasury Secretary John Snow has resigned and will be replaced by Goldman Sachs Chairman Henry Paulson, in another chapter of a White House shake-up to revive President George Bush’s troubled presidency.
Bush was to announce the changes in a White House ceremony later today.
Snow, the former head of railway giant CSX, has been Treasury secretary since February 2003.
His departure has been rumoured for more than a year.
Paulson has been chairman of Goldman Sachs for more than eight years.
It is considered one of the premier financial firms on Wall Street and has sent a number of its top executives to high positions in Washington.
Speculation that Paulson would take over from Snow increased after Bush shook up his White House staff earlier this year, replacing Andrew Card as his chief of staff with Joshua Bolten, a former Goldman Sachs executive who had worked with Paulson.
Snow has called Paulson “a very able executive, a friend of mine.”