Addressing the crowd in St Peter's Square on Wednesday, Pope Benedict thanked believers for respecting his decision to retire and said he was standing down for the good of the Church.
In the Italian capital, Rome, Pope Benedict XVI celebrated with a vespers service in St Peter's Basilica to give thanks for 2012 and look ahead to 2013.
Peter's Basilica was somber during the Mass, as if the weight of Benedict's decision and the finality of his pontificate had finally registered with the thousands of faithful present.