With five days remaining for Constituent Assembly to elect a new Prime Minister, Nepali Congress, the second largest party, has initiated talks with other parties to form the next government.
On Thursday, the NC central working committee decided to lead the next coalition government. The party however refrained from naming anyone for the PM's post.
"The candidate would be decided on Saturday by the CWC," party vice-president and parliamentary party leader Ram Chandra Poudel told HT.
Poudel, 65, is the leading contender within NC for the post. Others in the fray are senior leaders Sher Bahadur Deuba and KB Gurung.
Nepal is set to elect its new PM on July 21 as parties failed to arrive at a consensus on forming a 'national unity government' after Prime Minister Madhav Kumar Nepal resigned last month.
NC is also engaged in talks with the Maoists, the biggest party in CA as well as other Madhes-based parties.