The Argentina international was available on a free transfer after his contract was not renewed at the Spanish club and Inter have been known to be chasing his signature for quite some time, meaning the announcement of his signing is more of a relief than a surprise.
Banega brings a wealth of experience to the Nerazzurri midfield with 47 caps for Argentina and two Europa League trophies with Sevilla, and he is looking to bring the same kind of success to Inter.
"I'm not setting myself any limits: we want to try and win everything," he told the club's official website.
"We'll be playing in the Europa League, which is an exciting tournament to be involved in, but we must take it seriously. I've played in it lots of times and it's a very demanding competition.
"I've been lucky enough to win the Europa League and that's probably the most important cup I've won but I've also been able to win the Olympics and the Libertadores. I'd love to win the Champions League.
"Inter are a club with a long history that should be involved in the biggest competitions year in year out. They've won lots of league titles and other top trophies like the Champions League and it's an honour for me to play here. There have been lots of magnificent players who have pulled on this jersey."