The 25-year old Uruguay international returned to the club yesterday after representing his nation at the Olympics this summer and has already put pen to a long-term deal in what is a major coup for the Merseyside club.
Suarez was over the moon to commit himself to the club that he has grown to love since arriving 18 months ago.
"To sign a new contract with Liverpool is unbelievable for me because I am so happy here at both the club and also in the city," he told the Reds' official website.
"That is important for me and I am very happy with my new contract.
"I am happy off the pitch because the people of Liverpool are good with me and my family. I try my best on the pitch and when you are happy off the pitch, you are happy on the pitch.
"I want to say thank-you to the fans because they are our 12th player. The supporters of Liverpool are unbelievable.
"Five or six years ago I watched on TV the stadium and the club, and now I play here and the supporters have helped me. That's very important for me."