Arteta stated this after the Gunners’ 2-0 win over Manchester United on New Year’s Day.
Xhaka’s future has been a subject of speculation, since he reacted furiously to fans booing him, when he was substituted in a 2-2 draw at home to Crystal Palace in October.
The Swiss midfielder was eventually stripped of the captaincy.
Last week, that the 27-year-old’s agent claimed they have agreed terms with Hertha Berlin.
Arteta, however, says the midfielder has told him he wants to remain in North London.
“I think he’s going to stay. I really like him. If we get him on board he can be a tremendous player for the football club,” the Spanish coach told a news conference.
“I love the way he is, the way he lives his profession. He is a great football player. Today he was excellent at cutting out passes and he made a lot of great passes. I like how focused he is, he’s willing to learn.”
