The deal breaks an eight-month impasse that paralysed the government and raised fears insurgents were taking advantage of the political deadlock to stoke violence.
Members of the Sunni-backed secular coalition that had been so vehemently against Mr Maliki in the end resigned themselves to serving in his government.
"Finally, fortunately, it's done. It's finished. All the groups are in it," said Kurdish MP Mahmoud Othman, who took part in the nearly seven hours of negotiations yesterday along with talks on the previous two days.
An official in the Iraqiya Sunni-backed coalition confirmed anonymously that a deal had been reached.
The general outlines of the deal are that President Jalal Talabani, a Kurd, will keep his largely ceremonial job, and that Iraqiya will choose the parliament speaker, according to MPs familiar with the deal.
The compromise plan would also create a new council with authority over security issues.
NY returns Tutankhamun items
The Metropolitan Museum of Art in New York will return 19 artefacts taken from the tomb of Tutankhamun.
The objects, including a miniature bronze dog, a sphinx-shaped bracelet and necklace, will be sent to the new Grand Egyptian Museum, near the Giza pyramids.
Pink diamond to fetch 24m
A rare pink diamond auctioned next week could set a new world record if it sells for its estimated price of 17-24 million, Sotheby's said.
The 24.78-carat "intense pink" gem, set to go on sale in Geneva, has been called "one of the most important diamonds to appear at auction in recent years".
Amazon sells perverts guide
A self-published guide giving advice to paedophiles that is for sale through online retailer Amazon is stirring up controversy, with some threatening to boycott the site.
The availability of the Pedophile's Guide to Love and Pleasure: a Child-lover's Code of Conduct has led to questions over scrutiny on the site.
Amazon allows authors to submit their own books and shares revenue with them. It said it did not promote criminal acts, but also avoided censorship.
Castro killing game slammed
Cuba said a new video game in which crack US troops try to kill a young Fidel Castro glorified assassination and would turn American children into sociopaths.
The state-run media added:"What the US couldn't accomplish in more than 50 years, they are now trying to do virtually."
Safety group calls for more tests on A380s
Europe: The air safety authority ordered airlines today to conduct more tests on the type of Rolls-Royce engine that failed in an Airbus A380.
The European Aviation Safety Authority called for "repetitive inspections".
Australia: The highest court has backed migrant claims of unfair laws as the government tries to strengthen borders.
Two Sri Lankans had argued that laws barring them from appeal were unfair.