By Dennis Itumbi - AfricaNews reporter in Nairobi, Kenya / PANA.
Kenyan leaders have agreed to work in a coalition government starting Thursday evening, chief mediator Kofi Annan has announced. Opposition leader Raila Odinga will head the government while President Mwai Kibaki will preside over state affairs.

Kenya sighed with relief as the two key protagonists President Mwai Kibaki and Raila Odinga finally settled to a coalition government with a pledge to build a stronger country.
The agreement allows equal sharing of cabinet posts between the government and the opposition, but makes it impossible for the President to sack ministers nominated by the opposition Orange Democratic Movement (ODM).
The pact is significantly different from the current constitution, which gives the President the power to sack and appoint at will.
In the new arrangement, the Prime Minister will be consulted in writing before any move is made on the cabinet.
Both Raila and Kibaki were optimistic about the future with Kibaki calling on citizens to forget the past and look at the future and Raila predicting a stronger nation.
"Moments of crisis sometimes give countries an oppurtunity to emerge stronger," Raila said shortly after the agreement signing ceremony.
"Lets forget the past and look at the future,and build a new Kenya,"Kibaki on his part philosophied.
Raila even went on say that he now recognized President Mwai Kibaki.
The Kofi Annan mediation talks now move to their last mandate -correcting historical injustices especially the land problem. In what is seen as a dramatic end to a conflict that has seen over 1,000 people dead. Annan said, "i am pleased to announce that the leaders have agreed to work together in a coalition government.
He spoke after meeting with Raila Odinga, Mwai Kibaki, Benjamin Mkapa and Tanzanian President Jakaya Kikwete.
This agreement is the beginning of a process. The parties have to ensure the agreement is implemented to the later, this is a matter for all parties. It requires political will of the political class," President Kikwete said.
"I implore them to use their political will to have it implemented. This agreement is a result of a give and take exercise. Some may have wished to get more, what you got was the best under the circumstances," the AU chair pleaded.
Kenya's post-election crisis left 1,000 people dead, mostly in fighting that was along ethnic lines and fuelled by the open rigging of the Presidential elections.
Odinga told his supporters that even though the victory was stolen, it was time to heal the nation and move on with national reconstruction.
"I don't think anybody got the best. It was a deal for Kenyans, they (Kenyans) all had a share. This is a new beginning for us to return to normalcy," said Sospeter Mageto, Kenya's former envoy to the US.