The Champions League final versus Inter is still Ilkay Gundogan’s top priority, thus he has not yet agreed to a new contract with Manchester City.
Manchester City Transfer News:

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Ilkay Gundogan is still focused on competing against Inter in the Champions League final, The German midfielder has not yet agreed to a new contract with Manchester City.
The 32-year-old’s current contract with Manchester City comes to an end at the conclusion of the current campaign, but he hasn’t renewed it because he’s still intent on winning the Champions League, according to his agent and uncle Ilhan Gundogan.
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Speaking to Fabrizio Romano, Ilhan said, “Nothing has been agreed with City or any other club. The recent reports are NOT true. Ilkay is only focused on the final.”
Arsenal, Barcelona, and AC Milan are reportedly interested in signing the Manchester City captain, while the Premier League champions want to offer him a new contract.
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Ilkay Gundogan, who has six goals in his previous six games, will be in action again on Saturday when Manchester City takes on Inter in the Champions League final.
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