Baseball/softball and squash were the other sports recommended.
The announcement came at the IOC's meeting in St. Petersburg, Russia.
The EB selected the three sports by secret ballot from a list that also included karate, roller sports, sport climbing, wakeboarding and wushu. The voting took place after 30-minute presentations by the eight International Federations.
The full IOC membership will meet for the 125th Session in Buenos Aires, Argentina from Sept. 7-10 and will vote on which of the three sports to add to the Games in 2020.
"The Executive Board received excellent presentations today from eight International Federations," said IOC President Jacques Rogge. "It was never going to be an easy decision but I feel my colleagues on the Board made a good decision in selecting baseball/softball, squash and wrestling to be put forward in Buenos Aires. I wish the three shortlisted sports the best of luck in the run-up to the vote in September and would like to thank the other sports for their hard work and dedication."