Several hundred passengers were evacuated from a Maltese-flagged passenger ship docked in the Swedish capital of Stockholm after a fire broke out on board.

A serious fire broke out Tuesday afternoon on a passenger ship in Frihamnen, a Stockholm ferry terminal. Panicking people were seen jumping into the water.

Some 2,300 people were on board at the time including the crew.

The alarm was sounded at 2.48pm. Less than an hour later the fire was under control.

"Everyone apart for a few members of the crew has been evacuated... we had a fire on board but after 10 minutes the people on the ship and the fire brigade managed to put it out," said Björn Engström, a Stockholm police spokesman.

"Apart for a few members of the crew, everyone has been evacuated," he added.

The Emergency Service, Police and ambulance helicopter were called to the site and smoke-helmeted fireman entered the ship to put out the fire.

At least two people have suffered smoke-related injuries.

The Maltese-flagged ship is named Zenith and is about 200 meter long.