The midfielder, Rodri who has continually improved since joining City in the summer of 2019, has made 151 appearances in his three seasons at the Etihad and has 33 international caps for Spain.
He said he has loved his time at City and feels it is the best place for him to continue developing his game.
“Joining City in 2019 is the best decision I have made in my career,” he said. “I have loved every second. The fans have been amazing with me, I feel totally supported by the Club and the manager pushes me every single day.
“I have improved so much as a player, and I want to thank Pep and all the backroom staff for their help. They are completely committed to helping me become the best player I can be, and I appreciate their hard work.
“We have been very successful since I came here, which is something that makes me very proud. But to be honest, that success has made me even more hungry for me. Once you start winning big titles, you don’t want to stop.
“City, I feel, offers me the best chance of winning trophies and that’s why I am so pleased to be staying here for longer.”
Director of Football Txiki Begiristain added: “Rodri has been exceptional since coming here, so I am delighted we have managed to agree this new deal.
“He is the perfect example of what a top professional should be: he has a fantastic attitude, lives his life in the right way, takes care of his body and trains hard every single day. That is a manager’s dream, and I know Pep loves working with him.
“He has improved a lot since coming here and, for me, he is now one of the best in the world in his position.”
Everyone at City wishes Rodri the best with the remainder of his time at the Club.