Announced on the official site earlier today:
Manchester City FC (@MCFC) July 10, 2014
If I'm correct Nasri had one year remaining on his current deal (expiring in the summer of 2015). Nasri's was a contract that had been talked about as being renewed for the past couple of months and it appears that both sides were keen to make this move.
In the interview to CityTV Nasri spoke of being more settled last season (both on and off the pitch) and previously praised the approach of Manuel Pellegrini. The 2013/14 season was undoubtedly his best in a City shirt, ridding the inconsistency that plagued his City career previously.
The extension therefore is part reward for last season and part an acknowledgement that he is now expected to continue last seasons form and become one of the 'core' members of the side, in the way that the pillars of Joe Hart, Vincent Kompany, Yaya Toure, David Silva and Sergio Aguero have been.
At times last season his partnership with Silva was wonderful to watch; the way they dovetailed alongside each other, never far apart led to so much of City's creativity. With the addition of Fernando to the squad this does open up the possibility that he and Silva could have even more attacking responsibility bestowed upon them.
Nasri also spoke of the ages of 27-30 being the best for a midfielder. We could then be about to witness the prime years of his career over the coming seasons.