There is "serious engagement" taking place in talks between Sinn Féin and the Ulster Unionist Party, the republican party's chief negotiator Mr Martin McGuinness said tonight.
Raising hopes that the political impasse in Northern Ireland could soon be broken, he insisted Assembly elections could soon take place if goodwill prevails on all sides.
But the Mid-Ulster MP warned that a resolution to the issues that led to former First Minister Mr David Trimble effectively close down the Assembly 11 months ago would need to be found soon.
Devolution collapsed amid allegations that the IRA was intelligence gathering at Stormont. But recent newspaper reports are quoting IRA sources saying another move on decommissioning and a commitment to end to all paramilitary activity could be secured if Mr Trimble makes sufficient concessions.
However Mr McGuinness tonight said it was important there was not "a singular focus on what republicans must do". "There are issues for the governments to work out as well.
"There are also issues of concern for republicans regarding the Ulster Unionist Party's attitude to the Good Friday Agreement and the stability of the institutions," Mr MCGuinnes said.
Meanwhile, British Prime Minister Tony Blair's chief of staff Mr Jonathan Powell today also met nationalist SDLP leader Mr Mark Durkan as efforts to revive devolution continued.
An SDLP source said the talks were "lengthy, intensive and useful".
He said: "The discussions covered a wide range of issues including the joint declaration, issues around MI5 involvement in the North, the Cory Report, the devolution of policing and justice powers and maximising the political opportunity and conditions for another election.
"The SDLP pressed for an election in any case and under any circumstances."
After one of the most peaceful summers in years and Mr David Trimble's victory over his internal critics at a recent meeting of his party's ruling council, the conditions are set for a deal to be struck.
Both Irish and British governments are keen to see elections take place but it is thought that they will need to go ahead before the end of the year to prevent an irreversible political vacuum develops.
During a visit to the United States yesterday, the Taoiseach, Mr Ahern, said time was running out for a deal to be completed if there was going to be a pre-Christmas Assembly election.
"Now is the time for all sides to take the final steps to make this Agreement work," he declared.
PA