The 18-year-old joined the Catalan giants from Las Palmas last June and enjoyed a strong 2020-21 campaign for Ronald Koeman's side, scoring four times and contributing eight assists in 52 appearances.
Pedri also made a big impression for Spain at Euro 2020, helping La Roja to the semi-finals of the competition before Tuesday's loss to Italy.
The teenager's current deal with Barcelona is due to expire next summer, although the club have the option of extending the agreement for another two years.
According to Italian journalist Fabrizio Romano, Pedri is '100% staying' at Camp Nou, with the La Liga outfit viewing him as a 'special player'.
Romano claims that Barcelona will offer the Spaniard a new and improved contract once they have managed to improve their financial situation.
Pedri scored three times and contributed three assists in 37 La Liga appearances last term.