The 24-year-old's agent Martin Dahlin had suggested that Olsson's international career could be jeopardised by playing in the Championship.
But following assurances from Sweden over his future, he has again signalled his intent to play on with Rovers.
"I am focused on Blackburn, that's it. Too much came out in the media before that I wanted to leave and I didn't want to play here," he told the Lancashire Telegraph.
"I love the club, I have been here seven years and I only have positive things to say about the club. Right now I'm just focusing on Rovers, that's all."