Jurgensen took up the Bangladesh job permanently in February 2013 after being the interim coach for a series, against West Indies, in 2012.
The former Queensland star was given a two-year contract until the 2015 World Cup but Bangladesh's recent results had created uncertainty over his future.
Bangladesh were outplayed by Sri Lanka in the first Test in January this year, before bouncing back with a drawn game in Chittagong. They lost the T20 and ODI series, albeit through narrow defeats.
The Asia Cup brought four defeats, including one to Afghanistan, while their World T20 campaign crashed when they were shocked by Hong Kong in the first round.
It is reported that the BCB is already in the hunt for a new coach ahead of the three-match one-day series against India slated for mid June.


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