The talks between the Pakistan Muslim League-Nawaz and the Pakistan Peoples Party on a power-sharing formula for a coalition government remained inconclusive, though both sides claimed “significant progress” in the discussions, according to a media report on Sunday.

The third meeting between the Contact and Coordination Committees (CCCs) of the two parties, which took place on Saturday, remained inconclusive and both decided to meet again on Monday to finalise the power-sharing formula.

A brief announcement issued by the PML-N after the meeting said that there had been “significant progress” in talks with both sides, stressing the need for a “strong democratic government”.

"The proposals put forth by both parties were thoroughly discussed, and while substantial progress was achieved, further deliberations are required to finalise the matters at hand," a joint statement read.

Nawaz Sharif led PML-N has nominated Shehbaz Sharif for the Prime Minister's post.

Independent candidates - a majority backed by former prime minister Imran Khan's Pakistan Tehreek-e-Insaf party won 93 of the 265 National Assembly seats that were contested in the February 8 election.

The PML-N won 75 seats while the PPP came third with 54 seats. The Muttahida Qaumi Movement Pakistan (MQM-P) has also agreed to support them with their 17 seats.

To form a government, a party must win 133 seats out of 265 contested seats in the 266-member National Assembly.

During Saturday's meeting, the PML-N was represented by Ishaq Dar, Sardar Ayaz Sadiq, Azam Nazeer Tarar and Malik Muhammad Ahmed Khan, whereas those representing the PPP included former Sindh chief minister Murad Ali Shah, Saeed Ghani, Qamar Zaman Kaira, Nadeem Afzal Chan and Nawab Sanaullah Zehri.

In the last meeting on Thursday, representatives of both parties sought more time to assess the proposals discussed in the first meeting.

Bilawal Bhutto-Zardari-led PPP has assured the PML-N of its support in the government formation and election of the next prime minister on the condition that, in return, it will get key constitutional offices, including that of the president.

The PPP has also announced that despite supporting the PML-N at the centre, the party will not take ministries in the federal Cabinet.

Sources said the PML-N had been vigorously trying to change PPP’s minds on the issue of ministries before discussing the constitutional offices. The latter has so far refused to budge.

A PPP office-bearer, privy to the talk on government formation, told the Dawn newspaper that the party has decided to seek the posts of National Assembly (NA) speaker and Senate chairman.

But the PML-N appears reluctant and wants to keep the NA speaker’s office with it, the PPP leader added.

The PPP has sought top offices in both houses of Parliament as the party feared that under the PML-N, parliament “would not be able to gain its lost prestige”.

Sources in the PPP claimed that so far, the party had not finalised the names for the top constitutional and parliamentary offices.

They said that besides the present NA speaker, Raja Pervez Ashraf, who is expected to retain the post, ex-prime minister Yousuf Raza Gilani, who won the NA seat from Multan, also desires the post.

The PPP has also asked the PML-N for support in Senate elections for the seat that Gilani would vacate if he is nominated as NA speaker, according to party sources.

Gilani could also be considered for the Senate chairman, but it all depended on the outcome of the ongoing negotiations between the committees.

The other issue, the sources said, under discussion was the allocation of development funds for provinces.

They said the PPP wanted assurance from PML-N leadership that it would release development funds to provinces, particularly Sindh, without any hindrance.

According to reports, the PPP has asked PML-N to give it “some space” in Punjab as a precursor to any support in the government formation.

In Punjab, PML-N emerged as the single largest party after the February 8 general elections with 137 general seats. The party has already nominated Maryam Nawaz Sharif, the daughter of Nawaz Sharif, as the new chief minister.

The PPP won 10 seats of the provincial assembly and emerged as the third major party behind PTI-backed independents, who bagged 116 seats.

Except for the headline, this story has not been edited by The Telegraph Online staff and has been published from a syndicated feed.