Swedish Social Democratic Prime Minister Stefan Lofven invited the opposition to talks after both the left-wing and center-right blocs failed to obtain a majority as the far-right made gains in Sunday's legislative elections.
"It is clear that no one has received a majority, so it's natural to have a cross-bloc cooperation," Lofven told supporters after his bloc appeared to hold a one-seat lead over the centre-right opposition with votes in 99.8 percent of districts counted.
Defying calls by several leaders in the center-right four-party Alliance, Lofven said he would "work calmly as prime minister with respect to the voters and Sweden's electoral system" for two more weeks until the new parliament opens.
The far-right Sweden Democrats, who have capitalized on voters' frustration over immigration after the country welcomed almost 400,000 asylum seekers since 2012, were seen making steady gains, rising from 12.9 percent in 2014 to 17.6 percent.
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