Jesus and Walker will now have to self-isolate for a period of ten days and return negative tests before being allowed back into contention.
With games coming thick and fast at this stage of the season, the pair are set to miss Premier League matches against Newcastle United on Boxing day as well as Everton and Chelsea but could return for the EFL Cup semi-final against Manchester United on January 6.
Jesus, who has had to contend with injury issues this season, has made 11 appearances in all competitions, scoring four goals while Walker has featured 19 times for Pep Guardiola’s men, netting once.
City said in a statement: "Manchester City FC can confirm that Gabriel Jesus, Kyle Walker, and two members of staff have tested positive for COVID-19.
"All four personnel will now observe a period of self-isolation in accordance with Premier League and UK Government protocol on quarantine.
"Everyone at the club wishes our colleagues a speedy recovery over the Christmas period ahead of their return to work, training and competition."
Manchester City lie 8th on the Premier League table, eight points behind leaders Liverpool but have a game in hand.
