I am willing to stay on. We are building a new great team Sir Alex Ferguson Ferguson taunts leaders Chelsea

Ferguson, 63, says he has no immediate plans to retire, but thinks Queiroz has the potential to be the new boss.

"Can he be the next manager? Why not? He knows how to be one, has experience, he is very bright," said Ferguson.

"There are many Portuguese people in football but I have the best one here in Carlos Queiroz."

Ferguson has reiterated his desire to stay at United and build a new dynasty, dispelling thoughts he might retire.

The Scot's new one-year rolling contract will start in June and he told Portuguese magazine Visao: "I am willing to stay on. We are building a new great team.

"We have some of the best talent in the world and some youngsters who will be sure bets in this game and also this business. Why would I retire?"

Ferguson had planned to retire at the end of the 2001-02 season but was persuaded to stay by his wife and signed a three-year deal, which expires in June.

"Sometimes I ask: 'Do I still have energy?'," added Ferguson.

"But then I look to my side and I see businessmen in their 80s, full of energy, clarity and strength, who continue to work and I think: 'If they, at 82, can then why can't I at 63?"