Arsenal are operating on a tight budget this summer having failed to secure Champions League football once again.
Emery, heading into his second season in charge, was ready to let Ozil leave the Emirates in an effort to raise funds.
The German’s £350,000-a-week wages are also taking a huge toll on the club, especially given his lack of playing time.
Ozil’s playing style is not accommodated by Emery who was happy to see the former Real Madrid man occupy a seat on the bench for much of last season.
But having failed to find a suitor for the World Cup winner it now looks as if Ozil will be spending more time watching rather than playing, reports the Daily Mail.
That is unless Emery can find a place in his starting XI for the club’s top earner – something he may be encouraged to do in order to justify the outlay.
Ozil was the subject of interest from Besiktas and Galatasaray – he is of Turkish descent – but the two couldn’t get close to his wage demands.
It means Arsenal’s transfer budget is not about to get any bigger, and it was hardly sizeable to begin with.
Emery has just £45m with which to attract new players which is penance in the current market.
Negotiations are ongoing about the signings of Kieran Tierney from Celtic and St.Etienne’s William Saliba.
The problem for Arsenal though is those two recruits would take up the bulk, if not all, of their summer cash.
Even more frustrating is the reluctance of St.Etienne to let Saliba leave without having him back on loan for another season.
Emery is unlikely to agree to such terms given his lack of funds and the urgency with which he needs to solidify his leaky defence.
Going forward wasn’t Arsenal’s problem in his debut season as manager, although nearly 50% of their 73 Premier League goals were provided by Pierre-Emerick Aubameyang and Alexandre Lacazette.
Focus this summer is on attracting a dominant central defender, a full-back and potentially a winger with Yannick Carrasco the ideal target.