Pakistan Cricket Board (PCB) chairman Dr Nasim Ashraf told reporters on Tuesday that Younis was well within his rights to either accept or refuse their offer to become captain following the World Cup.
"I don't think he has committed any indiscipline. It was his individual decision and he can do what he thinks is best for himself," Ashraf said.
Younis turned down the captaincy after Inzamam-ul-Haq stepped down as skipper and retired from one-day internationals after the team's first round exit from the World Cup in March.
Younis cited form and personal pressure for his decision, although he had been vice-captain to Inzamam since early 2005.
Earlier this month, he also turned down an offer by the selectors to fly directly to Abu Dhabi from England to play a three-match series against Sri Lanka, saying he was committed to Yorkshire until September.
Younis told the selectors he was not in a right frame of mind to play for Pakistan.
"Younis will be considered for national selection committee like any other player when he makes himself available to play for Pakistan," Ashraf said.
"The selectors will decide who to select not the board," he added.
Ashraf also announced that the board would appoint a new coach by July 1 after having received 13 applications from foreign and local candidates.
The PCB advertised the post last month as it looks for a replacement for Bob Woolmer, who was found dead in his hotel room during the World Cup.
