Saka made his senior bow last season but has burst on to the scene this campaign, proving his talent and versatility for Arsenal.
The youngster has taken in 23 appearances across all competitions and fully established himself as part of the first-team fold, but is only tied to a deal until the summer of 2021.
On the teenager’s future, Arteta said: “I am really happy with how they [young players] are developing.
“Part of that developing is to improve the contract and to tie them to the club. But that has to follow a natural process.
“We have Edu, we have Raul [Sanllehi], Vinai [Venkatesham] and Huss [Fahmy] who are in charge of that and I am sure we will do the right thing when players deserve to improve and extend their contracts.”
While looking to ensure that Saka remains part of the fold at Emirates Stadium, Arsenal are also working on bringing further additions on their books.