The Serbian's Old Trafford career looked to be nearing its end in January with the midfielder open to leaving during the winter window but he forced his way back into manager Ole Gunnar Solskjaer's plans after a string of impressive performances in the early part of 2020 during the absence of the injured Paul Pogba and Scott McTominay.
Solskjaer added: "I am delighted that Nemanja has signed a new contract, I know his experience, professionalism and leadership will be invaluable to this young talented group.
"We have great strength in midfield and Nemanja's attributes are a key part of that. Nemanja has been here for three seasons now and really understands the values of playing for Manchester United.
Matic has been a key figure in United's impressive form since the Premier League's restart, coming off the bench against Tottenham before starting in each of their last three league victories.
He joined United from Chelsea in 2017 following three-and-a-half years at Stamford Bridge. Matic has since featured 114 times for United, scoring four goals.
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