U.S. President Barack Obama will nominate Harvard economics professor Jeremy Stein and former private equity executive Jerome Powell to the Federal Reserve Board of Governors, the White House said on Tuesday.

I am grateful that these individuals have agreed to serve their nation at this important time for our economy, Obama said in a statement released from Hawaii, where he is vacationing with his family.

Powell, a former partner with The Carlyle Group, was a senior Treasury Department official in the George H.W. Bush administration.

Obama's nomination of a former Republican political appointee appeared to be an attempt to mollify Senate Republicans who blocked his previous nomination of Peter Diamond, a Nobel Prize-winning economist, for the Fed board.

Stein, who previously worked for the Obama administration as an adviser to the Treasury secretary and a National Economics Council staff member, specializes in stock price behaviour, corporate investment and financing decisions, risk management and capital allocation inside firms.

Powell is currently a visiting scholar at the Bipartisan Policy Center in Washington, focused on federal and state fiscal issues.

(Reporting By Laura MacInnis; Editing by Eric Beech)