At a banquet honoring the team Monday night, Young was recognized for making second-team all-SEC as a freshman. He then took the podium and delighted the crowd.
"I'm going to make first team next year," Young said.
"I'm coming back for another year or two."
Young, the Razorbacks' leading scorer last season, had entered the draft on March 30 but never signed with an agent. Underclassmen had until Tuesday to withdraw from the process.
"I just wanted to come back to school because I enjoy school a lot," Young said. "I want to become one of the players in the nation and show my skills and try to get my team to a national championship.
"I was really confused earlier… You get a lot of outside and inside feedback from people telling you what to do so it makes the process a little more confusing and complicated."
An all-SEC Freshman Team selection, Young averaged 15.3 points per game in 2011-12, leading all league newcomers.
Young's return should add stability to a program that could add up to six new scholarship players next season.
"My gut always told me that he would (come back), but at the same time, obviously he's had a pretty impressive first year, and I think his best basketball is even in front of him," Arkansas coach Mike Anderson said. "When you start putting other pieces to go along with him, you get a healthy Marshawn Powell out there with him, and not only that, you get a year experience. This guy's got a year experience. So you expect him to be better, get in the weight room and get stronger."
Arkansas had only nine players on scholarship last season - four fewer than the NCAA limit of 13. Seniors Michael Sanchez and Marvell Waithe are departing upon graduation, while junior Julysses Nobles has left the program.
The spring signing period for basketball begins Wednesday. Arkansas can sign up to three players to go along with a three-man signing class in the fall.
"I think we've got to continue to get the best players available," Anderson said. "Our guard play has got to improve over what we have here. We've got to get size, some toughness and we've got to get some winners. We've got to recruit some winners in here.
"We're working very diligently to find some people to fit with our basketball team."