has disclosed the "honest" discussions that led to the decision to allow to depart this summer. Grealish, who is not included in Manchester City's Club World Cup squad, will be permitted to leave either on loan or through a permanent transfer.
The England star is currently undertaking his own training as he contemplates his next career move after being denied the trip to the United States, but City are poised to sever ties with him. Guardiola offered an emotional tribute to Grealish, expressing a deep sense of gratitude for the role he has played in his success.
Guardiola stated: "It was a conversation between him and the club and they decide. Jack is an exceptional player, the only reason why he didn't play last season is of course my decisions, and we decide that he has to play - and the club was honest, he was honest.
"We decide the best is that he has a place that he can feel he can play and come back to be the player that he was in the year of the treble or all his career at Aston Villa; without him it would have been impossible or more difficult to achieve the treble.
"The fact is the last two seasons he hasn't played much minutes and he has to come back to play and get the butterflies back in his stomach that he can play every three days and show again the quality that he has."
Guardiola also conceded that Kyle Walker is likely to depart, with Everton being one of the clubs showing interest in the England defender.
However, Guardiola could not provide any updates on the future of Walker and Grealish and where they might be playing next season.
The Catalan added: "I don't have any news, it's the same for Jack. Regarding the links, I don't know. You have to ask."