This season is expected to be Iniesta's last in a 'blaugrana' shirt, with reports that he is closing in on a move to the Chinese Super League.
However, Spanish newspaper 'AS' reports that Guardiola is keen on a reunion with the man he both played alongside and managed at the Camp Nou.
"I don't know if it is true so I prefer to wait and see what his decision is – staying in Barcelona or leaving," Guardiola said recently when asked about the 33-year-old.
"Of course, I wish him all the best. It was a joy for me to be his mate because we played together and then I was his manager."
Guardiola is a huge fan of the Spanish international, famously telling Xavi Hernandez "you will retire me and Iniesta will retire us all".
A move to City would allow Iniesta one last crack at top-level football, with his personal relationship with Guardiola likely to be appealing.
However, it is believed that Iniesta is keen on bowing out whilst he is on top, hence his display against Sevilla in the Copa del Rey final at the weekend may have only srved to push him further towards the CSL.