The 19-year-old, who was born in Bermondsey, is also eligible to play for Nigeria through his father's nationality.
However Ibe, who has played twice for the England Under-21s, has said that he is looking to make the step up to the Three Lions' senior squad in the future.
"It was my choice, it feels the right choice for me," Sky Sports News quotes him as saying.
"I was born here, I've played in the younger age groups and I want to take that up to the first-team one day."
Former Wycombe Wanderers player Ibe has made 19 appearances for Liverpool in the Premier League.