During a morning press conference after practice, Kelly said Vick will not only lead the team during the opener in Washington on September 9th but for the remainder of the regular season.
Kelly said Vick will also play into the second or third quarter of this week's preseason game in Jackonsville.
The head coach said Nick Foles, who was also in the running, took the news well.
"Nick was great. Nick is a professional. He was outstanding. Nick and Mike have a great relationship together. They're both pulling for each other and that is part of it. For us to have a good football team, two key ingredients are chemistry and attitude. When you see two guys like that approach this situation in that manner, I think it reflects great on the entire team," Kelly said.
Foles has been sacked six times in two games, and has a quarterback rating of 65.5, after showing flashes as a rookie last season while Vick was injured.
Vick will take a 113.2 quarterback rating into Friday's game at Jacksonville.
Kelly met with the two quarerbacks this morning to inform them of the decision.
The Eagles (1-1) are coming off a 4-12 season, coach Andy's Reid's last, and haven't made the playoffs since they won the NFC East at the end of the 2010 season.
The Associated Press contributed to this report.