An official statement on the club's website said that the former Real Madrid winger is expected sign a one-year-deal with the Nerazzurri in the upcoming days.

"Luis Figo has confirmed his desire to play another season with Inter, and on the basis of agreements already made, will renew his contract until 30 June 2008," read the statement on Inter’s website.

The former Barcelona star helped Inter win back to back Scudetto titles in 2006 and 2007, even theough the first was awarded to the Milanese team after Juventus were stripped off the title for their role in a match-fixing scandal.

The 34-year-old, who joined Inter from Real in 2005, was poised to join Saudi champions Ittihad Jeddah on a free transfer this summer, but the Saudi outfit failed to fulfill their obligations to the player and the deal fell through.

Figo, who is Portugal's most capped player with 127 games, is tipped by the Nerazzurri to take over as the club's International relations manager after he retires.