Liverpool owners FSG are confident that Mohamed Salah will eventually reduce his demands and sign a new contract at Anfield, according to a fresh update.

The Lowdown: Salah's future up in the air

The future of the Reds superstar Egyptian is one of football's biggest stories currently, with the 29-year-old not yet agreeing a new deal.

Salah's current contract runs out at the end of next season, meaning he could leave on a free transfer at that point, in what would be an enormous financial blow for Liverpool.

It is thought that the forward's wage demands are proving to be the main stumbling block, with the Reds not willing to pay him astronomical money.

The Latest: Salah and Abbas to lower demands

There is positive news regarding the situation, however, with Football Insider claiming a source close to Liverpool has informed them that FSG believe a "huge" new deal for Salah will be agreed.

Agent Ramy Abbas Issa was not happy with the initial offer, but the club are confident he will lower his wage demands next time around due in part to the lack of options to move elsewhere.

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The Verdict: Tense few months ahead

If true, this would be a massive boost for the Reds, with Salah arguably the world's best player throughout this season, scoring 20 goals and registering 10 assists in the Premier League.

Losing him at the peak of his powers would be devastating, even though no player is bigger than the club, and he is unlikely to be as loved anywhere else, nor play under a better manager than Jurgen Klopp.

It could be a nervy few months of twists and turns, though, as Salah weighs up his options amid interest from other teams, including Barcelona.

In other news, Liverpool reportedly lead the race to sign one player. Find out who it is here.