The Icelandic left-sided midfielder has been a regular in the reserve team since joining the club last January.
Sporting Director Damien Comolli said: "This is a good move for Emil. It will give him the chance to play first-team football and we are pleased he will get that opportunity."
Meanwhile, according to reports in the Daily Mail, Blackburn left winger Morten Gamst Pedersen insists there is no reason for him to leave Ewood Park.
The Norwegian international was being linked with a move to Tottenham.