Members of the governing Workers’ Party say Luiz Inacio Lula da Silva’s appointment will strengthen Dilma Rousseff’s beleaguered administration.
In becoming a minister, Luiz Inacio Lula da Silva will also have some legal protection.
Last week, prosecutors requested the former leader arrest in a money laundering inquiry over a luxury sea-front penthouse.
Luiz Inacio Lula da Silva has denied any wrongdoing and says the claims are politically motivated.
The reports, quoting unnamed sources, said Dilma Rousseff and the former president would meet in Brasilia on March 15. There has been no official comment.
Luiz Inacio Lula da Silva handpicked Dilma Rousseff as a candidate to succeed him in 2010, and has not ruled out running again in 2018.
Dilma Rousseff has faced increasing calls for her removal as a result of a corruption scandal at the state oil company Petrobras and Brazil’s worst recession in decades.
On March 13, hundreds of thousands of Brazilians took to the streets calling for her to go. But the president has repeatedly said she will not resign.
Dilma Rousseff could, however, face an impeachment process in Congress, accused of masking the budget deficit, which she denies.
One of Luiz Inacio Lula da Silva’s main tasks, the reports said, would be to negotiate with the main coalition partner in order to prevent an impeachment going ahead.
His appointment could also be seen as bringing some order to what many analysts consider a chaotic administration.
As a minister, Luiz Inacio Lula da Silva could only be tried in the Supreme Court, placing him out of the reach of the judge in the southern city of Curitiba responsible for the Petrobras investigation.
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