Rashtriya Janata Dal chief Laloo Prasad Yadav late on Friday evening indicated that his party was likely to join the Congress-led government.
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"There has been some progress," he told reporters after his day-long confabulations with senior Congress leaders and Nationalist Congress Party leader Sharad Pawar.
Earlier in the day, he sent a list of demands to the Congress.
Senior Congress leader Kapil Sibal described Laloo's demands as "sensitive to government formation." He, however, did not elaborate.
Laloo, who left for Patna in a huff on Thursday evening after his demand for home ministry was reportedly rejected by the Congress, met Pawar at the latter's residence in New Delhi this morning.
The NCP has since made it clear that it is ready to be a part of the government and has left the choice of portfolios to the prime minister-designate Manmohan Singh.
Laloo later also met senior Congress leaders Arjun Singh, R K Dhawan and Kapil Sibal.