Manuel Luis Figo is poised to become the most expensive player in the world with Lazio ready to pay £32million for the Portugal star.

The newly-crowned Italian champions have agreed to meet the valuation stipulated in Figo's Barcelona contract and, in secret talks with his agent Jose Veiga in London, promised him wages of around £4m a year.

Argentina's Juan Sebastian Veron, signed from Parma for £17.6m last summer and now rated at £20m, is expected to be offered in part-exchange.

Figo, England's tormentor in their 3-2 defeat by Portugal last Monday, is in no hurry to quit Camp Nou but is said to be tempted by Lazio's proposition.

Fellow Portugal international Rui Costa is refusing to play for Fiorentina again, despite having four years left to run on his contract and being told by the club president that he will be forced to 'rot in the reserves'.

Costa signed his new deal with Fiorentina only last year but was devastated by the recent sale of Argentina striker Gabriel Batistuta to Roma. 'I've spent six wonderful seasons in Florence but now it's time to move on,' insisted Costa.

Another of the Portugal squad, Everton defender Abel Xavier, believes the victory over England represents a watershed in his country's footballing history. Xavier said: 'The whole team was shocked by conceding two early goals but we didn't drop our heads. We stayed calm and carried on playing our football.

'That represents a change in attitude for Portugal. We are full of confidence. We are now respected opponents.'

Portugal face Romania today in buoyant mood, knowing a win will almost certainly assure them of a place in the quarter-finals. Romania, who drew their opening game with Germany 1-1, have earmarked the trio of Figo, Costa and Joao Pinto as the men most likely to put a dent in their ambitions.

Striker Viorel Moldovan, who earns his living at Fenerbahce, said: 'We can't take our eye off any of them.'