Arfield said: "It's great to have everything all sorted out with the contract.
"When I joined the club some years ago it was obviously my aspiration to play in the first team and to be doing so now is great.
"Here's hoping I can continue to progress but I'm just delighted to have it all done."
Bairns boss John Hughes told the club's official website: "Scott has performed very well in the first team this season and done so at times with some style.
"All he wants to do is be the best he possibly can and with his work rate and enthusiasm anything is possible."