Manchester City are preparing a new long-term contract for teenage defender Stephen Mfuni after a string of composed performances during his loan spell at Coventry City, according to reports.

The 18-year-old, who joined City’s academy at under-9 level, has long been considered one of the brightest talents to come through the club’s youth ranks in east Manchester.

Having spent last season gaining Championship experience with Watford, Mfuni made the step up to Premier League football this summer by joining Frank Lampard’s Coventry side on loan — and he has wasted little time making an impression.

Comfortable in both central defence and at left-back, the Wigan-born defender has become a regular fixture in Lampard’s back line, starting recent Premier League fixtures against Sunderland and Everton.

His composure against senior opposition, allied with his tactical versatility, is said to have caught the eye of officials back at the Etihad, prompting the club to move quickly over his long-term future.

Lampard’s trust accelerates development

According to a report by Graeme Bailey of TEAMtalk, City are ‘delighted’ with the progress Mfuni has made since arriving at the CBS Arena.

The report adds that the club had initially weighed up keeping the defender involved with Enzo Maresca’s first-team squad this season, before deciding that regular senior football elsewhere would benefit his development more in the short term.

That decision appears to be paying dividends. Mfuni’s performances under Lampard have reinforced City’s belief that he possesses the physical and technical attributes to eventually push for a place in Maresca’s squad at the Etihad Stadium.

For a club that has built a reputation for nurturing academy graduates into first-team or marketable assets, Mfuni’s trajectory is being watched closely by those overseeing City’s long-term planning.

With his current contract due to expire in the coming months, City retain the option to extend his stay, but officials are understood to prefer negotiating a fresh, longer-term deal that better reflects his progress and reduces any risk of losing him for a reduced fee or on a free transfer further down the line.

European clubs circling as interest grows

The urgency behind City’s move is also being driven by outside interest. Mfuni’s displays for Coventry are reported to have attracted attention from Bayern Munich and Paris Saint-Germain, two clubs well placed to test City’s resolve should contract talks stall.

Bayern’s interest is notable given their manager is Vincent Kompany, the former Manchester City captain whose connections to the club’s academy system run deep.

Kompany spent the majority of his playing career at the Etihad and has since built a reputation as a coach willing to trust young defenders, making Bayern a plausible destination should Mfuni ever decide his future lay elsewhere.

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