Dublin born banker John Hourican is set to return to Cyprus after agreeing a contract to lead the Bank of Cyprus as group chief executive for a further two years until 2018.

Mr Hourican, who joined the bank in November 2013 with a view to rebuilding the institution after the recent debt crisis on the island, announced in April of this year that he had resigned and was to return back to Ireland, where his wife and children are based, after serving a four-month notice period.

At the time, he said that it “just feels like a good time to put a little more balance into my life”.

On Tuesday however, the bank said that it has “decided to extend the appointment” of Mr Hourican. As such, he to sign a new two year contract, effective from February 1st 2016.

Last year, Mr Hourican was paid just more than € 1 million, including a €111,000 pension contribution. He joined Bank of Cyprus from Royal Bank of Scotland’s investment banking arm.