The decision of Vettori, who has not played a T20 international in more than two years after retiring in March 2011, has been received well by New Zealand Cricket.
"Dan was the number one ranked Twenty20 bowler in 2009 and is widely regarded as one of the best Twenty20 exponents in world cricket," NZC chief David White was quoted as saying by 'ESPN Cricinfo'.
"His availability is a real boost for the Black Caps with his style of bowling well suited to conditions in Sri Lanka," he added.
Vettori has played 28 Twenty20 internationals and ha competed in all three ICC World Twenty20 tournaments so far.
He is seventh on the all-time wicket-takers' list in World T20s. Shahid Afridi and Saeed Ajmal are the only spinners to have taken more wickets than his 18.
"Twenty20 is a format Dan enjoys and the opportunity to be part of a team which competes at a world event is enticing for him," Kim Littlejohn, the NZC national selection manager said.
More From This Section
"He has been encouraged by his team-mates, coaching staff and others at NZC and we are thrilled to have him in the mix. He will offer a lot to the side."
New Zealand's preliminary squad for the mega-event will be named on July 18. The tournament begins on September 18 and New Zealand are grouped alongside Pakistan and Bangladesh.