Bukayo Saka has agreed a new and improved five-year contract to stay at Arsenal, according to Athletic journalist David Ornstein.
The England international's current deal runs out in 2027, but the Gunners winger has now agreed fresh terms until 2031, with the deal in the process of being finalised.
The new salary recognises the winger's standing as one of the best in Europe, as he continues to be a key player for Mikel Arteta.
Arsenal remain on course to win the Premier League title this season following Thursday night's goalless draw with Liverpool at the Emirates, which left them six points clear at the summit.
Bukayo Saka Commits Long-Term Future to Arsenal
Saka
Arsenal have been in talks with the 24-year-old for months over an extension to his deal at the Emirates, with fresh terms now close to being finalised.
According to Ornstein, the news is a big boost for Mikel Arteta with the Englishman a player who would be wanted by the biggest clubs in world football if he was available.
However, Saka decided he only wanted to remain at his boyhood side, with the contract reflecting his position as one of the leading players in the Premier League and in Europe, while England will also look to him to influence their World Cup in North America this summer.
Saka's agreement follows in the footsteps of other new deals for key players such as William Saliba and Gabriel Magalhaes, as Andrea Berta ensures Arsenal can be a force both now and in years to come.
Best Signing of the Window for Arsenal
bukayo saka arsenal
While some Arsenal fans may be hoping for a new face or two this month to boost a squad that looks on course to win their first Premier League title since 2004, keeping hold of Saka is arguably going to be their best business of the January transfer window.
The 24-year-old old is pivotal to the Gunners when he is on the pitch, and they really feel his absence when he isn't as shown when he picked up a hamstring injury last season as the north Londoners fell adrift of leaders Liverpool.
Saka has made 290 appearances for Arsenal, registering 77 goals and 78 assists since making his debut for the club in 2018.
Arsenal Hold Talks to Sign Marc Guehi
Marc Guehi in action for Crystal Palace
According to Ornstein, Arsenal have also held talks with the representatives of Crystal Palace captain Marc Guehi over a potential move.
The Gunners' interest is more likely to be for the summer when the England international's contract at Selhurst Park expires, although Manchester City are interested in signing the 25-year-old before the February 2 deadline.
Should no one sign him this month, Guehi will be one of the most highly sought-after Premier League free agents in the summer.
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The Gunners are building for the future with an exciting young talent in their sights