Israeli President Reuven Rivlin will on Sunday start consultations with the parties about choosing a leader to put together a coalition, after right-win Prime Minister Benjamin Netanyahu failed for the second time in five months to secure a clear election victory in the parliament.

Netanyahu faced Israeli media headlines on Friday suggesting power is slipping from his grasp after an election in which he trails his main rival with nearly all votes counted.

The centrist Blue and White party led by ex-armed forces chief Benny Gantz rebuffed his calls to join a unity government on Thursday.

Near-final results released on Friday by the Knesset's election committee showed Blue and White will be the largest single party in the new parliament with 33 of the 120 seats, with Netanyahu's Likud winning 31 seats, three less than it had before.

Israeli newspapers and commentators depicted the 69-year-old leader as in a weakened position, with headlines such as: "Himself Alone" and "Political Death Spasms."

Netanyahu and Gantz will now seek potential coalition allies, prominent among whom is the far-right former defense minister Avigdor Lieberman. He secured eight seats for his Yisrael Beitenu party, making him a potential kingmaker.

Increased turnout by Israel's 21-percent Arab minority saw the Arab-dominated Joint List coalition grouping win 13 seats, making it the third largest grouping.

The religious parties representing Israel's Ultra-Orthodox communities, known as Haredim, remain a significant force, with Shas winning nine seats and United Torah Judaism eight seats.

The right-wing Yamina won seven seats, the leftist Labor-Gesher six, and the Democratic Union five. The full official results will be published next Wednesday.