Ibrahim Mehleb has been asked to form a new government by interim President Adly Mansour, he told Al-Ahram Arabic news website on Tuesday.
Mehleb, who resigned as housing minister on Monday, said he would immediately start consultations on the appointment of a new cabinet.
The former member of ousted president Hosni Mubarak's National Democratic Party (NDP) and ex-chairman of Arab Contractors, one of the region's leading construction companies, will succeed Hazem El-Beblawi as prime minister.
El-Beblawi, who was named prime minister in July following the ouster of president Mohamed Morsi and prime minister Hisham Qandil's government, announced the resignation of his cabinet on Monday.
The presidency is scheduled to hold a press conference at 2:30pm on the government's resignation and what will happen next.
