Brazil boss Dunga expects Ronaldinho to join Milan this summer as that is the forward's preferred destination.
Ronaldinho has been told he is surplus to requirements at Camp Nou with Milan and Manchester City confirming their interest in the talented playmaker.
Vice president Adriano Galliani claimed the World Cup winner had rejected an offer to join City, and now Dunga believes the Rossoneri are in pole position to land the player.
"Ronaldinho wants to go to Milan," the Brazil coach told Gazzetta dello Sport.
"And it is the players who determine transfers. The Rossonero club has all the good cards in their hand."
Questions have been raised of Ronaldinho's fitness after he appeared to have gained weight while recovering from a thigh injury in Brazil last month.
But Dunga believes reports of health problems are exaggerated, and that Ronaldinho will be fit in time for this summer's Olympics.
"The stories are exaggerated. Ronaldinho is only a few kilos overweight," Dunga added.
"He'll slim down quickly and he will be a star of the Olympics."