PPP co-Chairman Asif Ali Zardari will hold talks with former Premier and PML-N chief Nawaz Sharif on Sunday on formation of a coalition government at the centre.
Zardari, whose PPP emerged as the largest party in the February 18 Parliamentary polls followed by PML-N, will go to Sharif's residence in Murry, a hill station near Islamabad, at 11 am on Sunday, PML-N Joint Secretary Siddique ul-Farooq told PTI.
He said the to leaders would hold talks on government formation during the lunch Sharif would host for Zardari, husband of slain former Premier Benazir Bhutto.
"We have made progress in the talks (held so far) and we hope to resolve all matters regarding the government formation," Farooq said.
A crucial meeting of newly elected MPs of PPP, which is cobbling up a coalition with PML-N and ANP, on Thursday deferred a decision on naming the prime ministerial candidate apparently due to differences on whether the person for the top post should be from Sindh or Punjab.
Bhutto-loyalist Makhdoom Amin Fahim, who hails from Sindh, is the front-runner for the post. However, he said that Zardari's "unnecessary delay" in naming him as the prime minister has led to the perception that he was being "humiliated and betrayed".
In a statement issued by the PPP on Thursday quoted Zardari as saying that the "nomination for the office of prime minister would be finalised by the time the (National) Assembly session is called".
President Pervez Musharraf had said on Friday that he would convene the new parliament within two weeks.