The 27-year-old's previous deal was due to expire next summer.
The defender has been one of many Magpies players that have undergone a transformation after the appointment of Eddie Howe.
Krafth: 'I'm very, very happy to extend my contract here'
Speaking to NUFC TV, Krafth said: "I'm very, very happy to extend my contract here - me and my family love to live here - and continue with the journey we started with the club. I'm really looking forward to the future at the club."
Howe: 'He continues to add valuable strength to us'
Whilst also speaking to NUFC TV, Head Coach Eddie Howe stated: "I'm very pleased Emil has extended his stay with us. He made an excellent contribution to the team last season and he continues to add valuable strength to us."
How has this new deal come about?
Since the turn of the year, Krafth is now seen as a trustworthy player who will fill a Kieran Trippier-sized hole when he has to.
Since then, the Swede made an appearance in 12 of Newcastle’s remaining 15 games of the season, earning a clean sheet on five separate occasions.
Even more notably, Krafth has definitively assigned himself as the club’s clear second-choice right-back, despite formerly tussling with fellow defender Javier Manquillo over the role.
After signing for the club in 2019 from Amiens, it was widely accepted that Krafth was a bit part player - the likes of Jacob Murphy, even despite his natural position being a winger, were preferred to him.
Alike fellow defenders such as Dan Burn, Matt Targett and Fabian Schär, Krafth has been prominent in the upturn of Newcastle’s form.
Rather than allowing the previous contract of the defender to run out, the new hierarchy at the club opted to extend Krafth’s stay on Tyneside by a year, outlining the direction that they want the club to be pushed in.
Following the acquisitions of Nick Pope and Sven Botman respectively, added with the sensible decision to persist with Emil Krafth, it is apparent that minimum expenditure and general initiative are both considered as necessities.
Alongside his teammates, Krafth will now look to further impress the coaching staff at Newcastle.