It follows reports that President Trump was outraged by comments made by Mulvaney during the Ukraine corruption saga.
The allegations of abuse of power over the Ukraine incident led to impeachment proceedings against President Trump.
Mulvaney's departure has been on the cards for the last few weeks.
Mr Mulvaney is to become US special envoy to Northern Ireland, while North Carolina lawmaker Mark Meadows has been appointed to take over his former position.
Kenyan court charges 8 schoolgirls with fellow students' murder
A Kenyan court charged eight schoolgirls on Wednesday with murder for the deaths of 16 of their fellow students in a dormitory fire at a school in late May.
At least 5 people killed in fire in Antwerp apartment block
At least five people were killed in a fire in a 10-storey apartment building in the Belgian city of Antwerp on Wednesday, police said.
Three people die in Mexico World Cup celebrations as fans crowd streets
Three people died from suffocation as thousands of fans crowded Mexico City streets during World Cup celebrations, the capital's health secretariat said in the early hours of Wednesday.
US and Iran enter technical talks to secure peace deal, shipping restart
The US and Iran held technical talks in Doha on Wednesday as they seek to agree on the flow of shipping through the Strait of Hormuz and secure a lasting ceasefire, a source with direct knowledge of the talks and an Iranian official said.
After Venezuela quakes, citizens lead rescues amid military theft accusations
Venezuelans have been stepping up to speed up rescue operations as the search for survivors and victims of back-to-back earthquakes enters the eighth day.
Two dead after wildfire guts house in northern Greece
Two people died after a wildfire gutted a house in a forested settlement in northern Greece, the fire brigade said.
Afghanistan launches airstrikes on IS targets on border with Pakistan
Afghanistan's Taliban has carried out airstrikes targeting ISIS centre in Pakistan's border province of Balochistan and Khyber Pakhtunkhwa on Wednesday, as tensions between the two countries further escalate.
Bangladesh warns of dengue surge as weather aids spread
Bangladesh could face a sharp increase in dengue infections over the next two months, health experts warned, as wet weather and inadequate mosquito control spur a wider outbreak.
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Pinoy Expat Corner
What inspired them to take photography seriously here in the UAE?
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Pinoy Expat Corner
Why did they choose bowling as their hobby, and what makes it unique compared to other activities?
