She went to the White House to personally deliver her letter of resignation to President Donald Trump. Here's what we know.
Why has Nikki Haley resigned?
On October 10, 2018, Trump told reporters that Haley would be leaving her role at the end of the year.
He appeared alongside her in the Oval Office, praising her for doing an "incredible job".
The 46-year-old former South Carolina governor has given no reason for her departure.
"It's been eight years of intense time, and I'm a believer in term limits," she said referring to her time in public office.
"I don't have anything set on where I'm going to go," she said.
Haley denied any rumours of her running for Presidency in 2020 and told journalists she would be campaigning for "this one", pointing to Mr Trump.
Trump said Haley had told him some time ago she wanted to take some time off.
Who will replace Nikki Haley as US Ambassador to the UN?
Trump has said he will replace Haley in two to three weeks.
Ivanka Trump, the President’s eldest daughter, has been tipped to replace her as the next ambassador, after making numerous speeches at the UN ranging from women’s issues to anti-human trafficking.
Donald Trump said his daughter "would be incredible, but it doesn't mean I'd pick her".
Haley has overseen Trump's shift in dealing with the UN, including the U.S. exit from the UN Human Rights Council, which she called the organisation's "greatest failure."
Her tenure under Trump has seen her make a number of dramatic announcements on war and peace.
Haley told the UN the missile strike on Syria in April 2017 was a "very measured step" and attacks similar to this would continue.
She also slammed Russia after it blocked a draft resolution for condemning the Khan Shaykhun chemical attack.
And she is well-known for standing up to Trump throughout her tenure – describing Trump's proposed anti Muslim ban as "un-American".
Who is Nikki Haley?
Hale was the first woman to become governor in South Carolina and made history in 2010 when elected.
The daughter of Indian immigrants, she went on to work for her mother's upscale clothing business helping to make it a multi-million dollar company.
In 2004 she became president of the National Association of Women Business Owners.
Born into a Sikh family, she later converted to Christianity but still attends Sikh services out of respect for her parents' culture.
Haley entered politics as a Republican, severing in the South Carolina house of Representatives for several years before becoming governor of the state.
In November 2016 she was made US ambassador to the UN – making her the first non-white woman in Trump's cabinet.
Haley married Michael Haley in 1996 and they have two children, Rena and Nalin.
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