The 22-year-old has made more than 60 appearances in all competitions for the Stade Geoffroy-Guichard outfit since arriving from Troyes in 2007, and earned caps at both French U19 and U21 level, making 24 outings for the latter.
As a result, Arsenal, Tottenham Hotspur and Everton were all linked with moves for the midfield enforcer during the close-season.
But, instead, Matuidi signed a new three-year contract with Les Verts.
And although speculation continues to link him with a move to the Emirates Stadium to play under Arsene Wenger, the St Etienne skipper stated he is content to stay put for now.
“Today I am happy to be at St Etienne. I didn’t want to leave for the sake of it in the summer," he said.
“St Etienne remains a great club. Moreover it is a real honour to wear the armband.
“Arsenal? Of course I won’t hide it is a challenge that attracted me. Arsenal is a very big club. But today I am at St Etienne and the aim is to achieve a great season here.
“We will see what will happen in the future, we will think about Arsenal again at the right time. I will probably prolong.
“I have to meet the chairman soon to talk about the future, but I am not alone to make such a decision.”
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