Ederson has followed Ruben Dias in committing his future to Manchester City by signing a five-year contract.
The Premier League champions have moved to keep their defence together for the long term, with John Stones signing a deal until 2026 earlier this summer and Dias a six-year contract extension earlier this week.
The Brazilian goalkeeper, who has won three Premier League titles in his four seasons at the Etihad Stadium, set his sights on securing more silverware and winning City’s first Champions League.
Ederson said: “This was an easy decision for me. There is nowhere else I’d want to be. To be part of one of the best squads in world football and to compete for trophies year in year out is what every footballer wants, and that is the opportunity you’re given at City.
“We have an outstanding manager. Working with him has been one of the great experiences of my career and I am a better player for it. We have achieved so much in the last four years, and I am confident we can continue to bring more success to the club in the coming seasons.
“My main focus is to reach the final of the Champions League again, to be champions this time. We had the pleasure of playing a Champions League final for the first time and unfortunately we ended up losing. It was a very hard blow for everyone, but I also think it was a great experience for many players.”
Ederson has kept 95 clean sheets in 194 games for City, twice winning the Premier League’s Golden Glove, since his 2017 move from Benfica and is settled in Manchester.
He added: “I am glad we have all come to an agreement and we could extend the current contract. It means a lot. I am very happy in this club, in this city, my family has settled very well. I feel that the fans love me, my kids are in school, my wife likes it, so it is all very positive and it means that my work is being recognised.”
Midfielders Kevin de Bruyne and Fernandinho have also signed new deals in 2021.