The Frenchman is off contract in June and yet to agree new terms with the Gunners.
The Daily Star says Arsenal have offered him a new two-year deal on his current terms of around £60,000-a-week.
Offers already on the table from elsewhere have dwarfed this, with megabucks Monaco believed to have drawn up a staggering three-year deal worth £120,000-a-week AFTER tax - and a signing on fee of £10m spread over three years.
City are also monitoring developments are weighing up a move for the Frenchman.
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