Ibe, 19, made his first appearances for the Three Lions' under-21 side earlier this month, although the London-born teenager also qualifies to play for Nigeria through his father, David.
The African nation approached the youngster in August to try to persuade him to switch his international allegiance, but Liverpool announced on Tuesday that their player has committed himself to England in the hope of eventually receiving a call-up to the senior squad.
"It was my choice and it feels the right choice for me," Ibe told Liverpool's official website. "I was born here and have played in the younger age groups. I want to take it up to the first team one day."
Nigeria coach Sunday Oliseh revealed last week that Ibe and his family had let him know of the decision to represent England.
Ibe, who has featured in all five of Liverpool's Premier League games this season, started twice for England's under-21s at the beginning of September -- in successive 1-0 victories against United States and Norway.
"It was great and I enjoyed myself," he said. "I felt as though [Liverpool teammate] Joe [Gomez] and I did well. It was a great experience and I'm looking forward to the coming games.
"You want to represent your country well. Even at times when you've not got games for Liverpool, doing well with England is vital."
