According to Portuguese newspaper Record, the Portugal international will see his current €100,000-a-year wage packet increased by 400 per cent up to €500,000 per year.
Premier League interest
Manchester United and Arsenal were heavily linked with the talented holding midfielder, although he reportedly has a €37m release clause in his current contract.
It’s not clear whether this will remain in his new deal, but Sporting are understandably keen to reward his good form in the hope that he spends at least another full season in Portugal before eventually moving on.
His teammates like goalkeeper Rui Patricio and Adrien earn as much as 1,000,000-a-year at Sporting and Carvalho is now at least on a par with these two first-teamers in terms of importance to the team.
Premier League scouts, including those from United and Arsenal, have been flocking to the Estadio Jose Alvalade to watch the 22-year-old in action and he has not disappointed.
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Last season he won young player of the month awards in August, September, October, November and March, completely dominating opponents and earning a place in Paulo Bento’s World Cup squad for last summer.
He has just seven caps for his country at this stage, as Bento preferred to go with experienced players like Joao Moutinho, Miguel Veloso and Raul Meireles but Carvalho is the future of the Portugal midfield and United and Arsenal know that.