The 40-year-old Spaniard, appointed in December 2019 after Unai Emery was sacked, said he was "really happy" and said he wanted to "take the club to the next level to really compete with the top teams".
"To do that, we have to play the Champions League," he continued.
Arsenal are fourth in the championship, in contention for the next Champions League, two points ahead of their London rival Tottenham, four games from the end.
Despite a disastrous start to the season, Arteta, who also captained the Gunners as a player under the Wenger era, managed to guide Arsenal to the top of the table with important wins against Manchester United and Chelsea to climb to fourth. place, only three points behind the Blues (66 and 63 pts).
The Gunners are set to face Spurs in a potentially decisive derby next week.
© 2022 AFP