Manchester City boss Sven Goran Eriksson held talks with chairman Thaksin Shinawatra last night in a 45-minute meeting.

The Guardian says Eriksson is said to be reasonably comfortable about his position after "cordial" talks.

Thaksin and a number of his Thai associates met Eriksson and the club's chief executive, Alistair Mackintosh, at Manchester's Edwardian Radisson hotel, the Swede's base since replacing Stuart Pearce as manager last summer.

Thaksin indicated he would be willing to back Eriksson with up to £50m in the summer market.

The chairman also spoke to the club's academy director, Jim Cassell, and congratulated him on winning the FA Youth Cup.

"This part of our club continues to have the fullest support from myself and my board and we all hope to develop our young talent as much as possible," the Thai said.