The Senegal international will be involved when the Hornets take on the Blue and Whites at Vicarage Road
The fleet-footed forward was a target for a number of Premier League clubs after his stand-out performances for Watford last season in their failed quest to maintain their English top-flight status.
The forward scored five important goals in the division amid other dazzling displays, including his brace against Liverpool which ended the Reds’ unbeaten run.
Despite being linked to many top sides including Liverpool, the 22-year-old will now continue his stay with Watford.
Sarr was left out of Watford’s game against Derby after returning exhausted from international duty with Senegal.
Ivic has explained the winger is fully committed to the club and having returned to training, he will feature when they take on Blackburn on Wednesday night.
“He is with us. He stayed out because he was tired from his trip and now he works normal and is available for the game,” Ivic told the club website.
“I discussed with him a lot about his ability and he says he’s motivated and wants to be part of us. He’s one of the players who gives his maximum every day to the practice and I am satisfied he is with us now the window is closed.
“He is part of Watford and will show his quality and his potential. He is a fast player, who attacks the space and knows what to do one against one. He can give us different quality than other players.
“He is the guy who will show his potential and quality in the next games and to do it, he must work for the team because all of us work for the team. There is not one player in the world who can win the game: the team wins the game. Everyone needs to think about how they can improve the team.”
Sarr has only made two appearances in the Championship this season for Watford against Luton Town and Reading.
The forward will hope to help Watford secure their fourth win of the campaign at Vicarage Road.