Following the departures of veteran wingers, Franck Ribery and Arjen Robben, Sane has been linked with a move away from the Premier League outfit to fill the void left by the players at the Allianz Arena.
But the uncertain midfielder is yet to make a decision on his future at the Etihad stadium.
And Kovac believes the 2018 PFA Young Player of the Year can bring something better to improve the side should the club secure his services.
“He can definitely help us. Period. Exclamation mark. He has showed that in the national team and at City.
"He is a very good player, too," Kovac said. "We are focusing on the attacking area because we lost two players [Robben and Ribery] that we need to replace.
"In the 'six position', we have [Joshua] Kimmich who can play there and Thiago [Alcantara] who did a great job. We have got options. I know that there will be more to come.
"The ambitions for this season are very high. We want to defend our double and perform much better in Europe. We want to improve what was good and what was bad."
The former Schalke 04 player scored 10 goals with ten assists in thirty-one Premier League appearances for Manchester City in the 2018/19 season.
The 23-year old joined Manchester City in 2016 for an initial fee of £37 million.
Sane in his spell with the Citizens has won two Premier League titles and two League Cups, but the versatile midfielder struggled to cement his place in the first team at the latter part of last season making him fancy a move away from the side.