The former Wolfsburg forward, who represented Bosnia and Herzegovina at the World Cup this summer, played an important role as Manuel Pellegrini's side won the Premier League last season, scoring 26 goals across all competitions.
With one year left to run on his current deal, the 28-year-old is excited about the chance to stay at the Etihad Stadium.
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"We talked about that at the beginning of last season - it's very important you feel the confidence that a manager has in you and last season was proof of everything I said."
Dzeko looks set to be City's first-choice striker at the start of the season, with Sergio Aguero struggling once again with injury after the Argentine had his 2013-14 campaign similarly curtailed and Alvaro Negredo ruled out for several months.
"For all of us it's important that our team is winning - who will play, the manager decides," Dzeko remarked.
"We are here to train, to give our best, in training and at the games and we hope that Alvaro will be back soon because he's also an important player for us.
"Aguero is still to come ... [plus, with] me and Stevan [Jovetic], the manager has four choices. It's up to him to decide and on us to give our best in every game."