Manchester United assistant coach Carlos Queiroz has also been linked with the Benfica job but club spokesman Ricardo Maia quashed these reports.

He said: "At the moment our coach vacancy has been centred on Eriksson and we will not reveal other names.

"More details about our future coach will be announced next week when the Portuguese league and the Premier League finish."

Eriksson, who became a fans' favourite in his first season at City, would begin his third stint with Benfica if he is appointed.

A statement on Benfica's website said: "Following media reports, the club can confirm that it has had preliminary conversations with Mr Eriksson to fulfil our main coach vacancy.

"So far we have not discussed any contract details, such as duration or salaries."