Promising striker will join the Trotters for the 2012-13 campaign after featuring heavily on the Gunners' pre-season tour of the Far East
The 19-year-old represented England at this summer's Under-19 European Championship and featured in all three of the Gunners' pre-season games in the Far East.
The Emirates academy graduate is yet to make a competitive appearance for Arsenal but scored eight goals in 32 appearances at Huddersfiled two seasons ago before playing three times for Championship winners Reading last season..
Afobe scored twice in the Three Lions youth campaign and has seven goals in 10 appearances at Under-19 level.
Arsenal have a long-standing relationship with Bolton, who have taken both Jack Wilshere and Rio Miyaichi on loan in recent seasons.