Aim of study: Etomidate and Propofol are popular rapid acting inducing agents. Present study is undertaken to compare the hemodynamic response to induction of anaesthesia with Etomidate and Propofol and various untoward effects on patients. Materials and Methods: A randomized study of Eighty ASA I and II patients of age group 18-60 years scheduled for elective surgical procedure under general anaesthesia were divided into two groups of 40 each receiving either Etomidate 0.3mg/kg or Propofol 2.5mg/kg as an inducing agent. Hemodynamic parameter recordings were taken one minute before premedication and every minute for first three minutes after induction and post intubation 3, 5 and 10minutes. Adverse effect such as pain on injection, apnea and myoclonus were watched carefully. Results: Patients induced with Propofol had significant decrease in systolic (p<0.001), diastolic (p<0.047) and mean arterial pressures(p<0.009) at 2 to 3 minutes after induction and post intubation upto 5minutes compared to Etomidate. Pain on injection and apnea were more in Propofol group while myoclonus, post operative nausea, vomiting were higher in Etomidate group. Conclusion: Induction with Etomidate will have stable hemodynamic profile, less pain on injection and preferred over Propofol.