Prime Minister Narendra Modi on Thursday welcomed the agreement on the first phase of US President Donald Trump's peace plan by Israel and Hamas.

In a post on his official X handle, PM Modi stated, “We welcome the agreement on the first phase of President Trump's peace plan. This is also a reflection of the strong leadership of PM Netanyahu. We hope the release of hostages and enhanced humanitarian assistance to the people of Gaza will bring respite to them and pave the way for lasting peace.”

Earlier, on Wednesday President Trump said on his Truth Social network that Israel and Hamas had agreed on the first phase of his Gaza peace plan, hailing it as a "historic and unprecedented" step to ending the two-year-old war.

He said that Hamas would release all hostages while Israel would pull its troops back to a line agreed upon after talks in Egypt on his 20-point peace plan resulted in a deal.

"I am very proud to announce that Israel and Hamas have both signed off on the first Phase of our Peace Plan," President Trump said.

"This means that ALL of the Hostages will be released very soon, and Israel will withdraw their Troops to an agreed upon line as the first steps toward a Strong, Durable, and Everlasting Peace."

Trump also thanked mediators Qatar, Egypt and Turkey, adding a quote from the Holy Bible: "BLESSED ARE THE PEACEMAKERS!"

Earlier, Secretary of State Marco Rubio dramatically interrupted a meeting to whisper in President Trump’s ear that the two antagonists holding talks in Egypt were close to a deal.

President Trump told the meeting with journalists from friendly media that he could go to the region as early as Saturday.

The breakthrough in the talks under US aegis came exactly two years and a day after the October 7 brutal attack by Hamas on Israel that triggered the conflict.

Hamas killed about 1,250 Israelis during the attack launched from Gaza and took about 250 people hostage.

Gaza officials have said that 67,000 people, most of them civilians, were killed in Israel’s counter-offensive that levelled most of the territory and, according to the UN, famine-like conditions loomed when Israel restricted relief supplies.