The squad for the mega event in September will be announced later this month.
"Yuvraj has started practice, which is a very good thing. A guy who has won the World Cup should come back. We are all hoping for that.
We want Yuvraj back for T20 WC," Srikkanth said here after the selectors picked the Indian team for Sri Lanka's July-August tour.
"We still have time. The squad will be picked later this month," he added.
Srikkanth said the side is picked after due consideration with national coach Duncan Fletcher.
"One good thing is that Duncan Fletcher is with us. We have discussions over phone. They are healthy discussions," he said.
Yuvraj, who recently started practice, is undergoing a rehabilitation programme at the National Cricket Academy in Bangalore.
He was diagnosed with a malignant tumor between his lungs and underwent chemotherapy in the US earlier this year.
He was man-of-the-tournament in India's 50-over World Cup glory last year and was brilliant in the inaugural World T20 which India won in 2007 in South Africa.
He had smashed England's Stuart Broad for six sixes in an over in that edition of the event.
This year, the World T20 tournament starts on September 18.