The 29-year-old defender joined the club from Tottenham in 2012 when Chris Hughton was manager and, beyond spending part of the past season on loan at Watford, has remained an important figure since.
"I'm very happy to have signed this contract," Bassong, who returned to Norwich's first team under manager Alex Neil, told the club's official website.
"It's been an enjoyable time recently, getting promoted and achieving what we wanted to achieve
It provided great satisfaction for all of us.
"I enjoy playing for this team
Bit by bit, it is getting better and I feel better, and the manager has played a big part in that
I owe him a lot because he gave me my chance back in the team."
Bassong was peripheral under Neil's predecessor Neil Adams but the Scottish manager explained: "If you look through the spine of the team, it's not something I change that often and Seb has been a big part of that.
"He's performed extremely well since I've been here, and he's been a really good influence around the place as well which is great.
"It was very important to get this deal done, as well as some of the other ones which we've managed to do recently
They are guys who have contributed a lot to the group in the short time that I've been here.
"I'm really pleased for him
It's a reward for him and hopefully we can grow, get better and kick on."
Source : PA