Victorian premier Dan Andrews says that the family of the cricketer accepted the offer of a state funeral.
Fans left flowers, beer, and photographs at the statue of Warne at the Cricket Ground.
It will be an opportunity for Victorians to pay tribute to his contribution to his sport.
People of national significance are honoured at state funerals.
In a 15-year international career that ended in 2007, Warne took
"I've spoken with the Warne family again today and they have accepted my offer of a state funeral to remember Shane," Andrews said.
Details will be finalized in the coming days.
A group of friends found Warne unresponsive in his villa on the island.
His manager James Erskine said that the family is in complete shock.
I spoke to them yesterday and Jackson said they expect him to walk in the door. Erskine told Australia's Nine Network that this is a bad dream.
Like everyone,Keith, the father of Shane, is shattered. They cannot believe what has happened.
A stand at the MCG is set to be named after the man.
His body was flown to Thailand on Sunday for an autopsy.
The death is not being treated as suspicious.
His friends said that he had chest pain when he was in Australia.
We don't see any other possible cause of death based on the evidence.
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