The Sweden international claims he feels stronger than ever this season and says les Parisiens will be his last club in Europe - despite one-time interest from English sides.
The French champion takes on the Blues in the first leg in Paris this week, with Ibrahimovic set for a reunion with Jose Mourinho, whom he worked under at Inter.
While the Swede claims Chelsea's experience makes the team the favorite for the tie, he is fully convinced his side has what it takes to challenge for the trophy he has yet to win in a glittering club career to date.
"I think the greatest opportunity for me to win the Champions League is with Paris because this is my last contract in Europe," the striker told reporters. "We are in the quarterfinals and we are up against a great team. We don't have anything to lose and we are fairly new in this competition, while Chelsea has at least 10 years' experience. They've won the Europa League, the Champions League and are a very good team. Chelsea is a great club. It will be very exciting, but I think Chelsea are the definite favorites.
"Everyone is special in their own way. As a coach he has won everything except the World Cup and the Euros," he added of Mourinho. "I know him as a coach and he is a great person. I worked with him and we always had a good relationship."
Last season, PSG was knocked out of the competition at the quarterfinal stage after the club drew 3-3 with Barcelona, which advanced on the away goals rule.
However, Ibrahimovic is confident that his side have improved and are working far better as a unit under Laurent Blanc this season.
"There is a big difference now to our team last year," he added. "This is the second year we have played together, it is much better now as we know each other better.
"There are new players that have arrived but some took more responsibility. Collectively, it is better. Last year, everything was new - we played more individually, now we know better."
Ibrahimovic, who has 10 goals in just seven Champions League appearances this season, believes he has reached his very best form in 2013-14 at PSG - and has reiterated that, despite previous interest from Premier League clubs, he will not move to England in future.
"I feel very good, I have to be honest. I think this is my best season by far, both physically and mentally. I feel very strong and I'm continuing to improve," the 32-year old added. "I am very happy here as the club is working to become one of Europe's top teams. There has been a lot of change in two years. I have seen the development, both on and off the pitch and I am happy to be part of this project.
"I had the opportunity to join an English club when I was in Milan but, when I finish my career, I do not think I will regret not having played in the Premier League despite all the respect I have for the clubs and players who play in this league."