The MP for Saffron Waldon joins the Department for Education after Zahawi left to become a minister in the Department for Business, Energy and Industrial Strategy in Prime Minister Boris Johnson's reshuffle.
Zahawi, who set up the market research firm YouGov, was in post at the DfE for 18 months.
Badenoch was born in Wimbledon, London, and grew up in Nigeria and the US, before returning to the UK aged 16.
Badenoch became an MP in 2017, and prior to that she was a London Assembly member, crossing over with Johnson's tenure as mayor of London.
There she was spokesperson for the economy, deputy chair of the health committee, and sat on transport and policing committees.
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