Mugabe is believed to have fired Mnangagwa as vice president to pave the way for his wife's ascension to the Presidency.
Who is Zimbabwe’s new first lady?
At his inauguration on Friday, Mnangagwa began his speech by acknowledging his wife of over 30 years, who had earlier embraced him warmly - much to the crowds delight - after he took his oath of office.
Auxilia is a politician and member of the Zanu-PF.
She served as Member of Parliament, representing the same constituency her husband did before becoming vice president.
The first lady was seen at the Special Central Committee session that saw the expulsion of Grace and the recalling of the former president.
Auxilia was also seen by her husband’s side when he first addressed Zimbabweans upon his return from exile, just days before he was installed president of Zimbabwe.
Zimbabweans have also warned Auxilia to steer clear of her husband’s office.