The Snow Patrol frontman and the Girls Aloud star will lead a concert to celebrate as Derry is named the 2013 UK City of Culture.
The free gig will celebrate the best of Northern Irish talent and other stars scheduled to take part include The Undertones, singer Dana, The Divine Comedy star Neil Hannon, and actor James Nesbitt.
Coyle, who was born and raised in the city, took to Twitter.com to call her inclusion in the show "Very exciting!"
Derry's mayor, Kevin Campbell, said: "The Sons & Daughters concert will allow us to celebrate our excellent musical and cultural talent for which we are so renowned. We are delighted to offer the public the chance to see the city's most loved musicians and performers come together in their home town for a free concert."
Sons & Daughters - The Opening Concert takes place in Derry on Sunday.