The embattled Egyptian regime and the emboldened opposition groups remained deadlocked today over the nation's future as protesters were adamant that President Hosni Mubarak should step down before progress was made on a deal to initiate landmark constitutional reforms.
Fresh pressure also mounted on Mubarak as US President Barack Obama clearly indicated that there could be no going back to the pre-protest era in Egypt, and said Washington was ready to work with a future representative government in the north African country.
Thousands of protesters stayed put at the now iconic Tahrir Square for the 14th successive day and foiled attempts by the army to squeeze them into a smaller area as Mubarak's government was holding its full cabinet meeting to focus on restoring order.
The opposition groups did not appear too optimistic on the deal reached with the government yesterday in a breakthrough meeting with Vice President Omar Suleiman.
A statement issued from Suleiman's office after the meeting said that the government had offered to form a committee to suggest required constitutional amendments by the first week of March, pursue corrupt officials, undo curbs on media freedom, liberalise communication, lift an emergency law in the country and open an office to look into the release of political prisoners.
But the opposition which included the dominant Muslim Brotherhood termed these proposals as "insufficient" and demanded that there could be no move forward unless Mubarak steps down.
Meanwhile, life started returning to the streets of Cairo as shops and offices opened after several days and some people returned to work.
Army tanks, however, continue to guard key buildings and important installations of the city which has been at the centre of an unprecedented uprising against the ruling regime.
The agreement reached with the regime on forming a constitutional reform committee notwithstanding, the opposition appeared unsure on whether to trust the government on its promises to follow through on the deal.
A Brotherhood leader said the government has not made any concrete movement on the ground to display its seriousness on the question of politcal reform.
"We cannot call it talks or negotiations... The Muslim Brotherhood went with a key condition that cannot be abandoned... That (Mubarak) needs to step down in order to usher in a democratic phase," MB leader Abdul Moneim Aboul Fotouh said.
He said he "did not see any... Seriousness so far. They (the government) have failed to take concrete measurement on the ground".
"If they were serious, the parliament would have been dissolved, also a presidential decree ending the emergency law," he said.
Opposition activist Mohammad ElBaradei, who was not invited at the meeting yesterday too slammed the negotiations, saying they were "opaque", and "nobody knows who is talking to whom at this stage".
The reforms committee has basically been tasked to suggest amendments in the constituion to put a term limit on the number of tenures of a president and on defining who can contest for the presidency.
But, Vice President Omar Suleiman did not agree to an opposition proposal that the President's powers be transferred to him in line with a constitutional provision.
Obama played down the prospect of Muslim Brotherhood emerging as the main force in Egypt in a post-Mubarak era, and said the group is only one faction in a country which has a large number of secular groups as well.
"What Egypt needs is a peaceful and orderly transition," he said.
The developments came even as tens of thousands of Egyptians observed a 'Day of Martyrs' yesterday in remembrance of their countrymen killed in the uprising.
While the regime has said that Mubarak, as president till September, would preside over a peaceful transition to a more representative government, the protesters have insisted that Mubarak should go now.
Egyptian Prime Minister Ahmed Shafiq meanwhile told CNN that Mubarak has no immediate plans to quit his position and that he intends to stay on till the end of his term in September.
US Secretary of State Hillary Clinton too said that Mubarak might not be able to relinquish office as early as demanded by the protesters as the transition would take time.
The talks followed a major shake-up in the ruling National Democratic Party, with resignations of most of its leaders including the president's son Gamal Mubarak.
