Prime Minister Hun Sen does not have enough seats to rule alone
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Cambodia's political parties appeared to be near to forming a new government after a three-month political deadlock.
Following a meeting of the main parties, the opposition said they were prepared to consider a coalition under Prime Minister Hun Sen.
The stalemate has persisted since July, when the ruling Cambodian People's Party won elections, but not enough seats to form a government.
The opposition then refused to join a coalition, arguing the poll was unfair.
Observers had warned of a political crisis in the country if the stand-off were allowed to continue.
Wednesday's talks was the first face-to-face meeting between representatives of the CPP, the Sam Rainsy party and the royalist Funcinpec party since July.
A spokesman for the Sam Rainsy party said the opposition had agreed to consider the nomination of Hun Sen as prime minister, but it was still to be put to a vote.
That means that if Hun Sen wins enough support in the national assembly, he will return to lead a new coalition government.
Under that arrangement it is possible that the head of the royalist party, Prince Norodom Ranariddh, could become national assembly chairman and the leader of the opposition party, Sam Rainsy, might become deputy prime minister.
The BBC's South East Asia correspondent, Kylie Morris, says that while talks between the main parties have been scheduled several times, this is the first meeting where all the various parties have turned up.
'Political' killings
And they convened in a tense atmosphere. The killing of a radio journalist identified closely with the royalist party and an attempt on the life of a pop singer famed for her rendition of the royalist party song have led to allegations of political killings.
But King Norodom Sihanouk has pressured the groups to end their stalemate, arguing that their squabbling has brought the country into disrepute.
"Excuse my frankness: your incessant political manoeuvres and counter-manoeuvres, your brilliant rhetoric, your threats and counter-threats do not impress anyone anymore but instead aggravate everyone," he said in a statement this week.
He now says he expects a reasonable delay before a government is formed.