Ronald Koeman will remain in charge of Barcelona after “very frank and straight” conversations, says club president Joan Laporta.
Koeman is under contract until the end of next season but his position was under threat according to reports.
But Laporta said Barca have opted for “continuity” over Koeman’s contract.
Earlier on Thursday, it was announced Jordi Cruyff – son of Barca Legend Johan – will join Barca in a “strategic role” around football matters.
The 47-year-old played for Barca between 1994 and 1996 and will leave his post as manager at Chinese Super League club Shenzhen FC to take up the position.
Barca said Cruyff’s arrival on 1 August is part of new organisational structure being created at the Nou Camp by president Laporta.
In May, Spanish football journalist Guillem Balague told the Football Daily Podcast the Barca hierarchy was torn on Koeman’s position and that the club’s players felt he lacked authority.
Koeman, 58, secured the Copa del Rey at the end of his first season but Barca only finished third in La Liga with their lowest points tally since 2008.
Laporta said “very frank and straight conversations” had taken place and added: “We think it’s the best for Barca and we are very happy to be able to announce today that Ronald Koeman is staying.
“This time for reflection was necessary… to see together what didn’t work at the end of last season”.