A lengthy mediation process conducted by the main labor union and other groups from civil society finally culminated in last week's national dialogue of 21 parties.
The gathering was to select a new prime minister responsible for assembling the technocratic government due to run the country until elections for a permanent legislature and president.
Houcine Abassi, head of the main labor union and main mediator in the talks, said late Monday, however, that the talks were suspended because the sides could not reach a consensus.
"We do not believe in failure because the dialogue has to succeed it is our destiny," he said, explaining that the parties must now consult among themselves, "but not for long because the country cannot tolerate it."
Talks revolve around two elderly politicians who served under Tunisia's founding president, Habib Bourguiba, who weren't tainted by the regime of his widely reviled and later overthrown successor, Zine El Abidine Ben Ali.
The moderate Islamist Ennahda Party, who won elections after Ben Ali's ouster, supports Ahmed Mestiri, 88, but the opposition has said he is too old. They, in turn, are backing 79-year-old Mohammed Ennaceur, an ex-social affairs minister.
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Bouazza reported from Tunis, Tunisia.