The North London giants are believed to be interested in strengthening their midfield area this summer, with the likes of Youri Tielemans being rumoured with a switch to the Emirates Stadium.
Wolves star Ruben Neves has also been on the shortlist of Mikel Arteta, however, Corriere dello Sport are claiming that Arsenal are now keeping close tabs on Milinkovic-Savic.
The report also outlines apparent interest from Newcastle United, however, that the midfielder is set to snub interest from the following to his interest in joining a ‘top’ side instead.
Regardless, the Gunners are set to bid around £42m for Milinkovic-Savic according to the report, however, Lazio are believed to be holding out for a fee of around £55m for their star player, who has two years left before the contract ends.
Milinkovic-Savic could well be a potential replacement for Granit Xhaka who has been rumoured with a switch to AS Roma.