Italian newspaper Gazzetta dello Sport claimed on Saturday that Sneijder had agreed to join City in a €36 million deal with wages of €6 million. However, City sources subsequently rejected the report and Mancini has now officially denied holding any interest in the player.
"No," he said. "It is not true. He is an Inter Milan player. We never spoke about him."
With Manchester United still persistently linked with a move for Sneijder, Inter appear to be making little attempt to reject speculation of a rival bid from City.
Inter director Marco Branca, asked whether City had made contact over the player, had earlier told Gazzetta: "Being one of the best players in the world, it's clear there are going to be enquiries. However, we have not yet worked out a price-tag.
"Wesley has Inter in his heart, so it seems that both he and Eto'o said they want to stay. After all, Inter won't keep anyone who doesn't want to be here, nor do we want to sell someone unless they are happy with the situation."
Inter boss Gian Piero Gasperini had said on Saturday in the wake of the reports of City's bid that they would "think about it next week if there is this development".
Meanwhile, Mancini said he expected Carlos Tevez to return to training on Monday. "Yes. I expect Carlos to be back tomorrow," he said.