How to resolve LIBMYSQL.DLL not found error when performing rake db:create

When developing in Rails I usually use the SQLLite database during development for convenience but decided this time to use MySQL since I had it installed. Upon running the rake db:create command I received the following error.

screenhunter_01-2009-09-23

To resolve the problem simply copy LIBMYSQL.DLL file from your mysql/bin directory to the ruby/bin directory.

If your server is running you will need to restart it for the changes to take affect.