The 49-year-old Galashiels player, whose contract expired after the World Cup later this year, said in January it could be his last in the Six Nations, as he has not been in talks with the Scottish Rugby Union over his future. .
However, when asked about his stance after the Italy match, he revealed that there are now talks and that he expects some clarity “soon”.
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“I’ve had initial conversations in the last couple of weeks, but it’s about getting some time over the next few weeks to have a bigger conversation about this in more depth,” he said.
“The focus for the past two weeks has been on these matches. After a few days off, I’m sure these conversations will start again.
“I indicated that I needed some time to think about it, especially when the tournament was in full flow. I’m going to have some reflection and time off and I’m sure discussions will start again soon.”
When asked if he wanted to stay, Townsend – who has been linked with other job vacancies in recent months – said: “Yes, at this point, but this is not the time to answer those questions.
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“When you’re away from winning, the crowd is behind the team and you’re in contact with the players, of course it’s a great feeling, but I don’t want to commit to anything at the moment.
“There are talks that have started and I imagine they will start again after a period of rest. It didn’t happen a few months ago, so we’ll see how it develops.
“Honestly, I’ve tried to put that aside. Your mind only has so much capacity for one thing and that for me is to do my best as a coach of the team.”
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