The announcement puts an end to speculation about Neuer's future at the club, where his contract was set to expire at the end of the current campaign.

Neuer, who has made over 500 appearances for the Bavarian giants, was "the best goalkeeper of his generation and a Bayern icon", sporting chief Max Eberl said in a statement.

The club were "delighted" that Neuer would stay on for what will be his 15th season with Bayern, after joining from domestic rivals Schalke in 2011.

Neuer said in the statement he wanted to keep playing football and "remain a Bayern player" for the upcoming season.

After 11 Bundesliga titles and two Champions League trophies with the club, Neuer said he was "still hungry" for more.

Neuer, who retired from international football last year after Germany hosted the Euros, has recently returned from injury.

Bayern's stalwart broke a rib in a collision in December during a match against Bayer Leverkusen, which sidelined him through the end of the year.

The 38-year-old had previously expressed his desire to keep playing beyond the end of the year, despite growing competition for his spot.

Alexander Nuebel, who has a contract with Bayern until 2029 but is currently on loan at Stuttgart until 2026, is widely believed to be in line to replace Neuer in Munich.