Liverpool are expected to be in the market for a striker this summer as well, to help ease the burden on Sadio Mane and Mohamed Salah.
Roberto Firmino’s position in the side has come under threat with the Brazilian struggling for form in front of goal.
And Divock Origi looks set to leave Merseyside, opening up a spot for a second striker to come into Jurgen Klopp’s side.
Liverpool have benefited in the past from players leaving City for free with James Milner proving to be an astute signing back in 2015.
Barcelona though are said to be the favourites to sign Aguero this summer while there is also some suggestion that he may look to return to Argentina.