Guardiola's deal ran until the end of the 2020-21 season, which began on September 12, but he will remain in the Premier League after agreeing to an extension.
The former Barcelona manager had been linked with a return to the Nou Camp, and the new certainty over his contract will now provide some clarity when it comes to transfer incomings and outgoings for next summer.
Now, with Guardiola to remain as City manager for another two-and-a-half years, the Catalan has challenged the club to continue growing and improving in all areas.
"Having that kind of support is the best thing any manager can have".
"He convinced me we still have to move forward, to continue what we have done in these incredible last four years together and try to do it knowing how tough it will be in the Premier League and Europe, and [with] the desire to, if it's possible, make a step forward in this club or maintain the level we achieved in the last seasons". Guardiola's biggest successes have come domestically at City, where his side won the 2017-18 Premier League title with a record 100 points, and they retained their crown with a 98-point campaign the season after.
"It is a product of the mutual trust and respect that exists between him and the entire club".
"That's why I still have the desire to help with all the fantastic players we have for the next years, especially for the fans and we will feel proud of the way we play and the way we win".
Of Mubarak, he said: "Well, I'm not living daily with him".
The recent global break gave Guardiola and officials some downtime amid a hectic campaign to consider the future of the club and have come to an agreement that will surely delight City fans.
Speaking last month, Guardiola had indicated that his future at City hinged on this season's performance, saying: "I'm incredibly happy here, delighted to be in Manchester and hopefully I can do a good job this season to stay longer". It also goes to the stability and creativity at the heart of our football operations.
Meanwhile, midfielder Kevin De Bruyne has said he is in discussions with the club regarding a contract extension of his own. At the moment I am doing the talks myself. "But when you want to stay, it's not so hard".
Information from Reuters was used in this report.