Zimbabwean President Robert Mugabe could sign a power-sharing deal that names opposition leader Morgan Tsvangirai as prime minister, a senior ruling party official has said.

The official said Mr Mugabe's ZANU-PF, after more than two weeks of talks seeking to end a post-election crisis, wants any unity government to last five years.

Movement for Democratic Change leader Mr Tsvangirai would be premier although his powers were still under discussion.

The official, who asked not to be named, said: "There could be a signing after the leaders have met to thrash out the remaining issues."

The ZANU-PF official said a major breakthrough was reached when the MDC agreed to recognise Mr Mugabe's legitimacy as president.

He said Mr Mugabe's position was not negotiable.

ZANU-PF had agreed on Mr Tsvangirai as prime minister, but "not in the sense" of media reports which have said he will be given executive powers while Mr Mugabe becomes a ceremonial president, said the ZANU-PF official.

MDC officials were not immediately available for comment.

Mr Mugabe will meet Mr Tsvangirai to discuss forming a possible unity government, Mr Mugabe's spokesman George Charamba said earlier.

News of the meeting is the clearest sign yet that the parties could be close to a deal after a disputed vote in March.

Mr Charamba said Arthur Mutambara, the leader of a breakaway MDC faction, would also participate in the talks.

© Independent Television News Limited 2008. All rights reserved.