Treasurer Scott Morrison was on Friday picked as Australia's next prime minister in a ballot that continues an era of extraordinary political instability.
Morrison defeated the key challenger Peter Dutton, a former Cabinet minister, by a vote 45-40.
Dutton's supporters had forced incumbent Prime Minister Malcolm Turnbull to hold the leadership ballot. Turnbull did not contest the ballot and has said he will quit politics.
Foreign Minister Julie Bishop, another Turnbull backer, was also in the running but was eliminated in the first round of voting.
Josh Frydenberg, the environment and energy minister, was selected as deputy Liberal leader.
(With AP inputs)