“Hopefully, very soon we may give you the news that Mickey will be joining us,” he told a press conference in Lahore.
Sethi said Arthur will have his own team of support staff.
“I think the issues will be solved in the next two to three days and Mickey will come with support staff,” added Sethi.
Under Arthur’s tenure as head coach between 2016 and 2019, Pakistan won the ICC Champions Trophy and became number one in the Twenty20 international rankings.
But his contract was not renewed after Pakistan failed to reach the semi-finals of the 2019 ICC World Cup.
Arthur is currently serving as head coach of Derbyshire in England on a three-year contract.
He has vast experience, having also coached his native South Africa, Australia and Sri Lanka.
Pakistan cricket is going through a number of changes after PCB chairman Ramiz Raja was removed last month.
Raja was replaced by a 14-member committee led by Sethi.
Former batsman Haroon Rasheed was also appointed as chief selector, replacing Shahid Afridi, who served on an interim basis for one month.