Chancellor Angela Merkel said the Cabinet has agreed upon details of new measures to help Germany deal with the integration of some 1.1m migrants who were registered entering the country last year.
Ms Merkel said the measures seek to balance new "opportunities and obligations" for migrants.
"I think this is a milestone," she told reporters on Wednesday.
Further details were to be announced later in the day on specific decisions.
Measures being discussed include expanded orientation courses for migrants and reduced waiting times for integration courses, with a greater emphasis on learning the German language.
The moves still need parliamentary approval.