Salah made history last season, setting a Premier League record of 32 goals in a 38-match campaign, and helping the Reds reach the 2017/18 UEFA Champions League final.
And Liverpool manager Klopp believes his side can achieve more success after the winger agreed another deal just over a year after his move from Roma.
"It demonstrates two things very clearly – his belief in Liverpool and our belief in him," Klopp told the club's official website.
"Mo reflects where we are as a team, I think. Last season was special with many special moments – but we want more.
"We want to be more successful and achieve more together – as the supporters sang so loudly, 'We're never gonna stop'. This has to be the attitude individually and collectively."