"I am also driven to be part of the All Blacks again - there's no greater honour than to wear the black jersey.
"The over-riding reason, though, is my family. They enjoy being home ... With them happy, I am [able] to focus on being the best rugby player that I can be."
The news will be a welcome boost to a Blues team who have lost all six of their matches this season.
Their latest loss, a 23-11 defeat to the Waratahs in Sydney on Saturday, was a typically frustrating and disappointing affair.
The Blues again had their chances, but a combination of their constant errors and referee Jaco Peyper's decision to yellow card Kaino for a high tackle meant the match went the way of all their others this season.
Kaino's announcement is likely to herald other good news. The majority of the Blues' sponsors are about to re-sign despite the team's constant failures on the pitch, plus other player signings are about to be released.
Kaino's signature is also good news for the All Blacks. New Zealand Rugby chief executive Steve Tew said the annoucement was "huge".
"Jerome is one of our leading players," said Tew. "He joins a core group of key players who have re-signed with New Zealand beyond this year's Rugby World Cup.
"While we will see players depart our shores, we are buoyed by the news which demonstrates that the rugby environment we provide here in New Zealand remains stimulating and attractive to our top players."