Pakistan's ruling party says it will launch a coalition government with former Prime Minister Shehbaz Sharif nominated as the candidate for prime minister.

On Tuesday, Pakistan Muslim League-Nawaz, or PML-N, announced in a joint news conference with multiple allies, including the Pakistan People's Party, that they agreed to form a coalition government.

The PML-N is headed by another former Pakistani prime minister Nawaz Sharif, Shehbaz Sharif's older brother.

The younger Sharif served as Pakistani prime minister through August last year.

The ruling party started coalition talks after failing to acquire a majority in the general election held last Thursday. It gained only 75 seats.

Local media said opposition independent candidates backed by jailed former Prime Minister Imran Khan secured 93 of the 266 seats contested by direct voting, making them the largest group.

Khan leads the opposition Pakistan Tehreek-e-Insaf, or PTI. The former cricket star was ineligible to stand in the poll as he is in prison for corruption and other charges. His party's candidates had to run as independents.

The PTI is making allegations of vote-rigging and holding protests, raising concerns that political turmoil could continue.