"We welcome the decision of President Mubarak to step down in deference to the wishes of the people of Egypt," External Affairs Minister S.M. Krishna said in a statement.

"We also welcome the commitment of the Supreme Council of the Armed Forces to ensure a peaceful transition of power in time bound manner to establish an open and democratic framework of governance.

"We are proud of our traditionally close relations with the people of Egypt and wish them peace, stability and prosperity," he said.

The message was earlier posted in the ministry's Twitter account - twitter.com/indiandiplomacy.

Egyptian Vice President Omar Suleiman announced in Cairo that Mubarak was stepping down. The announcement came on the 18th day of protests in Egypt and was welcomed with jubilation by the people.