Lowry chose the Raptors over offers from the Houston Rockets and Los Angeles Lakers.
Lowry was considered one of the top free agent guards on the market after a strong season in which he averaged 17.9 points and 7.4 assists.
The Raptors made re-signing Lowry their top offseason priority after he led them to their first playoff appearance since 2008.
Lowry took to Twitter to let fans know he will be back in Toronto next season.
This ain't Amir jersey y'all!! Lol..... it's for the 2014-15 season cause Toronto will be my home city http://t.co/kOFGonoKES
- Kyle Lowry (@Klow7) July 3, 2014