NATO secretary-generals serve a four-year term with a potential one year extension.
The agreement will prolong Rasmussen’s term until July 2014, just months before the planned troop pull-out from Afghanistan.
Rasmussen shared that the change in leadership will be tactically efficient since the new secretary-general will have the opportunity to concentrate on NATO’s new mission in Afghanistan starting in 2015.
NATO forces will be involved with training missions for Afghan security forces come 2015.
This responsibility will be discussed in a meeting of alliance defense ministers at Brussels next week.
Rasmussen is 59 years old and previously served as the Danish prime minister.
He began his term at NATO in August 2009, when NATO forces were deeply engaged at war against Taliban insurgents.
Franco Frattini, former Italian foreign minister, is one of the top contenders to be Rasmussen’s successor after 2014, according to Reuters.