The group, who were on their final day of the national conference at the Emperors Palace in Johannesburg on Thursday, have been locked in negotiations for most of the day.
In a lunchtime update provided by independent convention chairperson Professor William Gumede, he said the political groups have agreed on three key points so far.
The political leaders have agreed on how they would work together and allocate ministerial positions and Parliamentary seats if and when they come into power.
Key to the agreement was the parties’ consensus that the leader of the largest party in the bloc—in this case, the Democratic Alliance’s John Steenhuisen—would become the leader of Government Business, and essentially the Deputy President.
As it stands, Deputy President Paul Mashatile is the leader of Government Business.
They have also not yet decided who will be the leader of this pact.
They have not decided on who would be elected president of the country should they succeed in their attempt to take over government. Professor Gumede explained that since it is Parliament that elects the President of the country, they would not decide on it as yet, but "it would not necessarily be the leader of the biggest party", he said.
The parties have further agreed that one party cannot lead both the legislative and executive branches of government.
They also agreed that power would be allocated approximately proportionately to the election result.
"Every party would still have their individual identities but be part of a larger coalition. This is very new in South Africa. Once the election result is out, they will then deal with representation among themselves," Professor Gumede said.
He explained that they would also use the principle of merit to decide the allocation of positions in government.
"They will look for the best candidate for a position based on merit and not politics or cadre deployment. There would be a shift in the way things are conducted in the country," Professor Gumede added.
The parties also agreed that the cabinet must reflect the diversity of South Africa. He said the coalition partners have made it a point that across the legislative and executive arms of government, it must reflect the diversity of the country.
It’s our competitive advantage compared to any other country in the world. Our diversity is our strength," Professor Gumede said.
They also agreed that lifestyle audits would be implemented for all members of the executive.
In addition, the Multi-Party Charter agreed to relook at the design of the Cabinet and the way it is currently structured.
Professor Gumede said the coalition partners found that the Cabinet, in its current form, was quite top-heavy and bloated. He said they had agreed to streamline the cabinet under the coalition government.
The parties - the DA, the Inkatha Freedom Party (IFP), ActionSA, Freedom Front Plus, Spectrum National Party, United Independent Movement, and Independent South African National Organisation (Isanco) - are expected to conclude their convention by Thursday afternoon.