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Bayern Munich manager Niko Kovač has given the all-clear for the club's decision-makers to pass up the opportunity to sign Real Madrid loanee James Rodriguez on a permanent basis at the end of the season.

The Colombia international has had a mixed time in Bavaria since arriving on a two-year loan deal in 2017, struggling to establish himself under Carlo Ancelotti and current manager Kovač, but thriving under legendary boss Jupp Heynckes last season.

Bayern Munich can make James' move permanent at the end of this season if they meet Real Madrid's €42m clause - which is on top of the €13m loan fee - but Marca report that returning to the Spanish capital is back on the cards.

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It had appeared that James' career at the Santiago Bernabéu would officially be drawing to a close this summer, having failed to live up to expectations following his performances during the 2014 World Cup in Brazil.

The 27-year-old made 111 appearances for the club during his three years, scoring 36 goals and claiming 40 assists, before Europe's biggest club's cued up to sign James in a loan deal away from the Spanish capital.

Bayern Munich eventually won the race and he would go on to be one of the Bundesliga's best players during his first year at the club, but a change in management has seen the playmaker fall back down the pecking order.

Manager Kovač is said to see a clash with James' style compared to what he's trying to implement in their team with the likes of Corentin Tolisso and Leon Goretzka.