Lazio sporting director Igli Tare says Edy Reja will remain in charge of the club next season.
Reja, who steered the Rome club out of the relegation zone and to a mid-table finish last season, is out of contract in the summer.
The Biancoceleste lie fourth in the Serie A standings and hold the last Champions League qualifying spot with five games remaining this term.
"Reja will coach Lazio also next year," Tare said. "We already have reached an agreement with him for his contract extension and we will soon announce the details of the deal."
Tare believes Lazio will have an even more competitive team next season.
"The club is working hard in order for the club to fight for the Scudetto in the near future," Tare said. "We want to return to compete at a high level at all costs."
Lazio, who last won the Scudetto in 2000, travel to the San Siro to face third-placed Inter Milan on Saturday.