The experienced coach has reached an agreement with the Europa League finalists to stay at the helm until 2015
There were doubts as to whether the 58-year-old would stay on at the Lisbon giants following their disastrous end to the 2012-13 campaign which saw them miss out on the league title, Europa League and Portuguese cup in dramatic fashion.
Nevertheless, Jesus has now ended all speculation about his future by inking a two-year extension with Benfica, with the club confirming the news via their official website.
The experienced coach has been in charge of the Portuguese powerhouse since the summer of 2009 and has guided them to one league title and three Portuguese league cups in the past four years.
He previously coached the likes of Amora, Felgueiras, Uniao Madeira, Estrela Amadora, Vitoria Setubal, Vitoria Guimaraes, Moreirense, Uniao Leira, Belenenses and Braga prior to his appointment at Estadio da Luz.