The talented defender produced another impressive display during England's 2-1 defeat by Germany at Wembley, hot on the heels of his man-of-the-match performance in the derby victory over Manchester United.
City are keen for Richards to sign a four-year contract extension, but the versatile youngster is still to put pen-to-paper, leading to speculation over his future.
Eriksson said: "I am not sure about Micah's contract but I know there are some talks taking place.
"This club will do everything possible to keep a player like that.
"It will be very bad to sell him and we have absolutely no intentions of doing so."