According to sources, Lionel Messi has agreed to a big wage reduction in order to stay at Barcelona and will sign a five-year contract in the coming days.

Messi, 34, has been a free agent since his previous four-year contract expired on June 30, but despite being linked with Manchester City and Paris Saint-Germain last summer, it was expected that a deal would be struck to extend his 20-year association with Barcelona.

After the club's 8-2 Champions League defeat to Bayern Munich last season, Messi's relationship with former Barcelona president Josep Maria Bartomeu had been tight, but he has been happy since Joan Laporta's re-election in March.

However, given Barca's debilitating debts and the necessity to slash costs in order to comply with LaLiga's Financial Fair Play rules, finding a solution has been difficult.

However, according to reports in Spain and elsewhere, Messi has agreed to take a 50% wage cut from his previous contract, which was worth more than 125 million euros (£105 million) each season, while still playing until at least 2026.

Messi's contract will allow him to continue his Barcelona career, which he began in the academy in 2000. He has made 778 games and scored 672 goals for his club, earning 10 LaLiga titles and four Champions League wins in the process.

Messi won his first big international trophy last weekend when Argentina defeated Brazil in the Copa America final.