This is according to the President of Nwakali's current club, the Diamond Football Academy.
Nwakali has been linked with Arsenal from as early as January and speaking to allnigeriasoccer.com, Diamond Football Academy President Martin Apugo insisted the deal has now all but been completed.
Arsenal are yet to officially confirm the youngster's move but it was reported in the Sun last week that the £3m transfer should be completed soon.
Apugo, speaking to allnigeriasoccer.com, said: "Kelechi Nwakali was with Arsenal but came back from London to join the national team.
"He will travel this month to Arsenal, he is still in the Flying Eagles camp.
"He has agreed a five-year contract. He is a player of Arsenal."
The talented youngster himself spoke to allnigeriasoccer.com back in March and claimed to have signed a deal at the Emirates at that time.
He said: "I just came back from London, I have signed a five-year deal with Arsenal.
"So many teams were interested in me but it has been my dream at a tender age to play for Arsenal."
? The papers have linked @Arsenal with three midfielders in this morning's Media Watch ? https://t.co/L5VsYMQyzN pic.twitter.com/bh2a2zcCwZ
The Gunners overcame stiff opposition from Chelsea, Manchester City and West Ham to sign Nwakali, who captained Nigeria to under-17 World Cup victory last year.
Nigerian team mate Samuel Chukwueze is also rumoured to be on Arsene Wenger's shortlist.
Nwakali was pictured with Arsenal manager Arsene Wenger and club CEO Ivan Gazidis back in January and it is believed the deal is finally completed, despite a five month delay.