The announcement was made on Tuesday morning.
Mairead McGuinness has been named as Ireland's new European Commissioner.
The announcement was made on Tuesday morning by European Commission President Ursula von der Leyen.
She will take over the financial services, financial stability and Capital Markets Union portfolio.
McGuinness was one of two names put forward for consideration for the position, with former European Investment Bank vice-president Andrew McDowell the other candidate nominated by the Irish government.
"Yesterday I interviewed the candidates put forward by the Irish government for the post of Commissioner, Ms Mairead McGuinness and Mr Andrew McDowell," von der Leyen said on Tuesday.
"Both candidates showed great commitment to the European Union and to the job of Commissioner – excellent candidates. They also both clearly have significant experience of EU matters, of course from different perspectives.
"Following these interviews, I have decided to propose to the Council and the European Parliament the appointment of Ms McGuinness to the post of Commissioner. She will be in charge of financial services, financial stability and the Capital Markets Union.
"Executive Vice-President Valdis Dombrovskis will assume responsibility for the trade portfolio, and he will remain the Commission's representative on the Eurogroup, alongside with Commissioner Gentiloni.
"Ms McGuinness has significant political experience on EU issues, having been an MEP since 2004 and currently holding the post of first Vice-President of the European Parliament.
"This experience is crucial in carrying forward the EU's financial sector policy agenda and ensuring it supports and strengthens the Commission's key priorities, notably the twin green and digital transition," von der Leyen said.
McGuinness will replace Phil Hogan in the role,
who resigned from the position amid the controversy over his attendance at the Oireachtas Golf Society dinner in Clifden last month.
McGuinness, an elected MEP, represented the North West constituency of Ireland in the European Parliament and had been a Vice-President of the Parliament since 2014.
