Bendtner will only return to Arsenal under extreme circumstances
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Birmingham will be able to keep Arsenal striker Nicklas Bendtner on loan for the rest of the season.
Gunners boss Arsene Wenger contacted Birmingham manager Steve Bruce to give his permission earlier this week.
The Danish striker, 18, was initially with the Championship club until January when his circumstances would be reviewed by the Gunners.
Bendtner has played a major role in City's fine start to the campaign and is their leading scorer with six goals.
Bruce said: "Mr Wenger contacted me earlier this week to say, barring anything untoward, that Nicklas could stay at Birmingham for the remainder of the season.
"By anything untoward he means if Arsenal pick up four or five injuries at the same time in the striking department, but if that doesn't happen Nicklas will be our player for the remainder of the season. "