The 40-year-old broke the news at Friday's press conference ahead of the Lions' Matchday 23 encounter with Borussia Mönchengladbach and was quick to express his delight at the new deal.
Fast-tracked to the top
"It's a mark of confidence and I'm delighted," he enthused. "I identify 1000 per cent with this city and this team. The goal is to establish ourselves at the top in the coming years."
Lieberknecht finished his playing career at Braunschweig, before taking over as youth team coach in 2007. His stock rising, he took over as head coach of the senior side in 2008, steering them out of the third tier and into Bundesliga 2 at the end of the 2010/11 season. Two years later, Braunschweig made their return to Germany's top flight following a 28-year absence.
Twenty-two games into the current campaign, the Lions sit bottom of the table, five points from outright safety.