Yadav suffered the injury on day three of India’s eight-wicket Second Test victory over Australia at the MCG in Melbourne which leveled the series at 1-1.
India went on to win the match on the fourth day, with Yadav failing to return, finishing with figures of 0-39 and 1-5 for the match.
Yadav took three wickets in the first innings of the First Test but has largely played second fiddle for the tourists, with Jasprit Bumrah leading the attack.
However, his injury follows the loss of front line quick Mohammed Shami with a fractured arm and captain Virat Kohli who returned home for the birth of his first child.
It is believed that India will name a replacement for both Yadav and Shami in the next 48 hours, although they’re already without the experienced Ishant Sharma.
Navdeep Saini is the likely replacement from within the squad, while Shardul Thakur, T Natarajan and Kartik Tyagi are all on tour as net bowlers, meaning they’ll have no quarantine requirement.
The Third Test, which will take place in Sydney despite the recent cluster of coronavirus cases, is due to commence on Thursday 7 January.
Australia have some selection headaches looming too, with David Warner set to be available after a groin injury, while emerging uncapped talent Will Pucovski has re-joined the Test squad after his recent concussion suffered in the Australia A game earlier in December.
Opening batsman Joe Burns has already been dropped from the side following poor form, meaning Warner is likely to replace him, while there’s debate about Travis Head or Cameron Green’s spot if Pucovski is available for selection.
The young Victorian produced compelling Sheffield Shield form in the lead-up to the Test series, with back-to-back double centuries for Victoria.