City's director of football, Txiki Begiristain added: "We're delighted Ferna has signed his new contract".
Manchester City plan to give Pep Guardiola a belated birthday present when the leaders try to bounce back from their first Premier League defeat in more than nine months against Newcastle on Saturday.
The Brazil global has made over 200 appearances for the Sky Blues since his arrival in 2013 and contributed to the team's Premier League and League Cup triumphs in his first season.
After an unsuccessful spell at Cardiff City, he scored two goals in four games on loan at Celtic in 2014 before moving to Sweden where he scored 38 goals between 2015 and 2017, 15 coming in his first season. He also played a key part in leading the Citizens to the semi-finals of the Champions League in the same year, the Club's best performance in the competition to date.
Manchester City will look to bounce back strong from their loss last weekend and they have the ideal opportunity to do that as they are at home and facing weaker opposition.More news: U.S. new tax law benefits Apple employees with $2500 bonuses
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It meant City's lead at the top of the table was reduced to 12 points, as Manchester United moved up to second place by beating Stoke on Monday. An extension of two-years was granted to the player earlier today, and rightfully so after having a fantastic season under the Spaniard.
PARIS SAINT-GERMAIN are eyeing up the appointment of Pep Guardiola when his contract at Manchester City expires. A poor 10-minute period that saw us gift the Merseysiders three goals ultimately proved our downfall and our football rarely reached the heights we've managed throughout much of the season. While the defeat to Liverpool last weekend ended their hopes of replicating the feat of the Arsenal Invincibles, it may well have taken some of the pressure off the players. "We need to anticipate it now". If we do it now, we do it for the summer.
"This is great, I support it, I think it's a really good thing for them because they can study at the same time they have fun and this is the most important thing".
Newcastle's tactics came under fire that day, and there is no question that Benitez will set them up in the same uber-defensive system again for this one.