Frenchman will have been in charge of the Gunners for 20 years by the end of his new deal.
Arsenal head coach Arsene Wenger is on the verge of agreeing a new two-year deal with the north London club, according to reports on Goal.com.
The experienced Frenchman has been in discussions with the Gunners hierarchy about extending his stay at the Emirates beyond the end of his current deal, which expires at the end of this season, throughout most of the summer.
However, it is now believed that the 63-year-0ld will imminently put pen to paper on a new contract that will keep Wenger in the capital until June 2016, when he will be 66, and so extending his stay at the club to the 20-year mark.
Wenger currently earns £7.5m per year on his present deal, but he is not expected to be offered any rise on his basic salary, although there will be certain bonus clauses included in the new contract.
And it is understood that the Arsenal manager, who first arrived in the capital in September 1996 to take over from Bruce Rioch in the dugout at Highbury, has no intention of leaving the Gunners, with his family settled in the city and himself newly energised by the recent success of his new young charges.