via BBC News
Officials in the capital Sanaa confirmed the government had accepted the plan drawn up by Gulf Arab states.
Mr Saleh will hand power to his vice-president one month after an agreement is signed with the opposition, in return for immunity from prosecution.
At least 120 people have died during two months of protests.
The US has welcomed the announcement; a statement from the White House urged all parties to “swiftly” implement a peaceful transfer of power.
Opposition leader Yassin Noman was quoted by Reuters news agency as saying he welcomed news of the handover but would not take part in a proposed national unity government.
The opposition have been insisting they will not accept immunity from prosecution for Mr Saleh and his family.
If Mr Saleh steps down as expected, he will join Tunisia’s Zine al-Abidine Ben Ali and Egypt’s Hosni Mubarak as the latest Arab leader to lose power because of a popular revolt this year.
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Article courtesy bbc.co.uk