Reports in the Indian media say the invitation extended to the premier for the Monday ceremony has been accepted, Dawn online reported.
Foreign Office spokeswoman Tasnim Aslam said no decision had yet been finalised vis-à-vis the visit.
Aslam said the invitation extended by India had been received and Sharif had been informed.
Earlier, diplomatic sources had said that a decision on visiting New Delhi would be taken by the prime minister after consulting “stakeholders”.
Sharif is among the leaders of member states of the South Asian Association for Regional Cooperation (Saarc) invited by Modi for the event scheduled Monday.
Afghanistan, Sri Lanka and the Maldives have confirmed their participation in the ceremony.