Deschamps' previous contract expired after the 2022 FIFA World Cup in Qatar.
Since his appointment in 2012, Deschamps has taken charge of 139 games for France, winning 89, drawing 28 and losing 22.
The former France international led Les Bleus to the EURO 2016 final but lost to Portugal. He redeemed himself by leading France to World Cup glory in Russia four years ago and Nations League victory in 2021.
Deschamps led France to another World Cup final in Qatar last month but lost out to Argentina on penalties following a 3-3 draw after extra time.
The France Football Federation issued a statement on Saturday which read: "The French Football Federation and Noël Le Graët, its president, are pleased to announce the extension of Didier Deschamps at the head of the French team until June 2026.
"Guy Stéphan, assistant to Didier Deschamps, Franck Raviot, goalkeeping coach, and Cyril Moine, physical trainer, will also continue their mission in the French team."
Deschamps will now remain in charge of France for the qualification for the 2024 European Championship in Germany and the 2026 FIFA World Cup in USA, Canada and Mexico.