The City board keeping quiet is the best way to handle this, whether we like it or not. It's financial naivety for anybody to play their hand when they don't need to, especially when there are millions of pounds at stake.
If the club make us aware of their exact transfer plans, they're also making it far easier for our rivals and any associated player's agents to affect the outcome. As things stand we don't 'need' KDB but it would likely be a very good purchase. Wolfsburg are in quite a different predicament as they need a solid plan in place should they lose their main man.
The likelihood is that it's far more important for them to have a good replacement now, rather than a few extra million to spend later. This could be the reason the transfer has become a bit of a saga.
The idea that Wolfsburg keep increasing their price and this is hindering the transfer process is equally speculative as no fees have been made public by either club.