The teams of the Likud and Moshe Kahlon’s Kulanu party on Tuesday evening reached agreements in the ongoing coalition negotiations.

As a result, the two parties are expected to sign a final coalition agreement on Wednesday afternoon.

Under the agreement, Kulanu chairman Moshe Kahlon will be appointed Finance Minister and will also assume responsibility for the planning and construction administration.

In addition, MK Yoav Galant will serve as Housing Minister, while MK Eli Alalouf will serve as Environmental Protection Minister.

Kulanu thus becomes the second party to sign an agreement with the Likud, after the haredi United Torah Judaism (UTJ) agreed on a draft agreement earlier on Tuesday.

According to the agreement with UTJ, child benefits and stipends for yeshivas, which were slashed under former Finance Minister Yair Lapid, will be brought back to their previous levels. The agreement also stipulates a freeze on the controversial conversion law.

Meanwhile, another obstacle on the path to a new coalition was passed on Tuesday evening, as Likud representatives indicated to the Jewish Home party that Prime Minister Binyamin Netanyahu will grant its chairman Naftali Bennett his request to become the education minister in the coalescing coalition.

Nevertheless, talks with the Jewish Home continue at a slow pace amid demands by the party that one of its members be appointed as Deputy Minister of Religious Services, as well as an explicit commitment by Prime Minister Binyamin Netanyahu to build new homes in Judea and Samaria and Jerusalem. The Likud is in no hurry to agree to these demands, however.

Shas chairman Aryeh Deri meanwhile is demanding that a Shas member be appointed a deputy minister in three portfolios – finance, religious affairs and a portfolio that was not detailed.