Isabel Toledo is launching a budget shoe line.

The designer - who created US First Lady Michelle Obama's pale yellow inauguration outfit - has signed a deal with affordable retailer Payless to create an exclusive footwear collection, made from a range of fabrics including patent, nylon, rubber and mesh, retailing at under $40.

Isabel said: "I believe that the freedom of wearing and living in high-low fashion is what pure American styling is all about.

"Shoes must be flattering and wearable, and I am thrilled to collaborate with Payless to create something new and fresh for all women through my new Payless shoe line."

Isabel - who will also create accessories for the retailer - is delighted with the collaboration as she believes it makes her designs more accessible.

She added: "Working with Payless gives me an opportunity to reach so many women, and it's a treat to be able to touch as many women as I will. It's really a collection for women from all walks of life, literally. And it's been interesting as I've had to have a different design hat on. My business is quite couture and precise. This is taking into account all different lifestyles. In a way, it's the closest thing to real life for me. And I feel like I'm all of these women."

Isabel Toledo for Payless will be sold from September.