The England Under-19 international made four appearances for the Gunners last term but has enjoyed a breakthrough 2019-20 campaign, already featuring on 23 occasions in all competitions.
Saka's current deal will expire at the end of next season, and according to the Daily Mail, Arsenal are preparing to hand the teenager fresh terms due to the interest in his services.
Indeed, the report claims that Man United and Liverpool are both attracted to a player who has appeared as both a left midfielder and a left-back for his London club.
Saka, who came through the youth system with the Gunners, is still believed to be on a wage of £3,000 a week at the Emirates Stadium.
Bayern Munich are also thought to be keeping tabs on the versatile youngster as Mikel Arteta's side battle to secure his future. body check tags ::