Tanáiste Micheál Martin said he is hopeful that power-sharing can be restored in Northern Ireland in the "next short while".
He was speaking following his first bilateral meeting with British Foreign Secretary David Cameron in London.
Mr Martin said they discussed the efforts being made this week in terms of the facilitation of trade between Northern Ireland and Britain and said "there's a lot of work done".
"The DUP will have to make a decision on that obviously, but I think I think progress has been made and I think the people of Northern Ireland need government, particularly given the huge pressures on services, health services and education and the very challenging budgetary situation that they were facing," Mr Martin said.
Mr Martin said he had a "warm and fruitful" encounter with Mr Cameron after the pair met for the first time.
He told reporters: "We discussed the efforts that are being made in terms of the restoration of the institutions of the Good Friday Agreement in the North.
"We would hope that we can witness the restoration in the institutions before long, certainly in the next short while."
Mr Martin did not put a timeframe on when he hoped power-sharing could be restored.
"We await the outcome of the discussions this week in respect of the financial arrangements for Northern Ireland...which are taking place separate to the more specific ones on the Windsor Framework," he said.
"So, the DUP will have to make a decision on that obviously, but from what I have seen I think progress has been made, and I think the people of Northern Ireland need a government."
Mr Martin and Mr Cameron also discussed perspectives on the Middle East and Ukraine during the meeting.
Speaking ahead of the visit, Mr Martin said: "My view remains clear - the international community should insist on an immediate humanitarian ceasefire. Civilians must be protected, hostages must be released and humanitarian access at scale should be provided as a matter of urgency.
"It will also be important that the EU and the UK maintain our close cooperation in delivering support for Ukraine and deterring Russian aggression."
With additional reporting from PA
