Mancini made his intentions public after Fernando Torres' goal saw the Serie A leaders go down 1-0 to Liverpool at the San Siro to seal a 3-0 aggregate defeat.

The 43-year-old, who joined Inter in 2004 and led the club to back-to-back Serie A titles in 2006 and 2007, announced his news at the post-match press conference before a question had been asked.

"The next two and a half months will be my last as the coach of the squad," he said.

"I have already told the players and it is only natural now to announce it to everybody. It's a decision that I had already made and it is not due to tonight's defeat."

Mancini also insisted his decision has nothing to do with a reported rift between himself and club president Massimo Moratti, and claimed there was no ill-feeling between the pair.

"The president knows (I'm leaving), it isn't true that we had a fight," he said.

"There is absolutely no problem between me and the president, I wish him all the best."

He added: "Now we have to remain focused on retaining the Scudetto. But Inter will remain being a great squad and a great club.

"We've got two and a half months to retain our title. This year it'll be difficult right until the end."

Midfielder Esteban Cambiasso expressed his shock at the announcement, refusing to believe that his coach's decision was final.

"As far as I'm aware Mancini used the word 'probably'," he said.

"We're both upset, both me and him, and tomorrow we'll have to think about this some more when we've all cooled down."

Mancini is Inter's most successful coach of the past decade, having won two Serie A titles, two Coppa Italia crowns and two Italian Supercups.