Turkish premier Ahmet Davutoglu will meet the country's main opposition leader on Thursday for decisive talks that will likely determine
if the country forges a coalition government or heads to snap polls, AFP reported.
Turkey has been without a full time government since the ruling Justice and Development Party (AKP) lost its overall majority in June 7 legislative elections for the first time since taking power in 2002.
The political impasse comes as Ankara wages one of its biggest security operations in years – a cross-border offensive against Islamic State (IS) terrorists in Syria, and an offensive targeting Kurdistan Workers Party (PKK) rebels in northern Iraq and southeast Turkey.
AKP leader Davutoglu will meet Republican People's Party (CHP) leader Kemal Kilicdaroglu in Ankara at 2:00 p.m. for what is seen as a final chance to agree a coalition.
"Whether Turkey will have a coalition or not will be probably seen today after the meeting," said Ozgur Altug, chief economist at BCG Partners in Istanbul.
While an initial round of talks began warmly, opposition politicians and commentators have accused President Recep Tayyip Erdogan of meddling in the process in order to trigger early elections.
The results of the June 7 elections were one of the biggest blows yet to the combative Erdogan and torpedoed his dream of parliament agreeing a new presidential system for Turkey.
On Wednesday, Erdogan indicated that he would not be bothered by the failure of the coalition talks, saying their collapse would not be a reason for a party leader to "commit suicide".
Under the constitution, Davutoglu – as leader of the largest party – has until August 23 to agree a coalition.
Erdogan has said he does not have the authority to extend the deadline, but several commentators cast doubt on this.
"If he (Erdogan) thinks a government may be formed, he may extend this period," wrote columnist Mehmet Yilmaz in the Hurriyet daily. "But he will not do such a thing because, indeed, he does not want a coalition – he favors snap elections."
Analysts have said such elections could be called as soon as October or November, or next year if the AKP prefers to wait.
AFP contributed to this report.