Under the deal, Yuliya Tymoshenko is to be reinstated as prime minister. She was fired from the post last year following a disagreement with Yushchenko.
The Our Ukraine bloc will select the next speaker of the legislature.
The coalition is made up of President Viktor Yushchenko's Our Ukraine party, Tymoshenko's bloc, and the Socialist Party.
The agreement ends three months of political deadlock following Ukraine's parliamentary elections in March.
The Verkhovna Rada began its session today with a commemoration of the 65th anniversary of the Nazi invasion of the Soviet Union.
(Channel 5, Reuters)