Turkish and Greek Cypriot leaders met Tuesday in a series of negotiations aimed at finding a settlement to the division of the Mediterranean island.

Turkish Cypriot President Mehmet Ali Talat and Greek Cypriot leader Demetris Christofias discussed "powers in a federal government" in Tuesday's meeting, said Alexander Downer, UN's special envoy to Cyprus.

Downer said the two leaders are expected to meet again next Monday to take up issues on property.

Talat said after the meeting that he exchanged proposals with Christofias on the powers of a federal government, adding that "they have got to understand better this time."

The Turkish Cypriot president said they would also discuss "foreign relations" chapter in their next meeting.