Albania's parliament failed to reach consensus to elect a president on Monday although talks between the two main parties helped create a more cooperative climate.

Losing the first two of five rounds to elect a president with more than 84 votes in the 140-seat parliament means the government and the opposition have only one round to elect a new head of state by consensus.

The need to reach consensus in the first three rounds derives not just by the Albanian constitution but also by the European Union, the 27-member bloc which Albania wants to join.

The European Union has made the election of the president the litmus test of the functioning of Albania's young democracy and the election will influence the EU's decision to award candidate status to Albania after two successive rejections.

"There is not an official candidate to hold a vote. On the basis of the Constitution of Albania the voting is considered done. I shall start consultations to determine when the third round will be a help," Parliament's Speaker Jozefina Topalli said.

Prime Minister Sali Berisha and opposition Socialist Party leader Edi Rama met on Sunday evening to discuss first the qualities and later the names of the candidates for president.

Berisha and his coalition ally, the Socialist Integration Movement leader Ilir Meta, proposed Zhezair Zaganjori, a Constitutional Court member, for president but did not endorse him officially after the opposition said his choice was not acceptable because it was one-sided.

If the parties fail to reach consensus in the third round, a president can be elected in the fourth and fifth rounds with a simple majority of 71 votes.