Les Parisiens want to keep the Italian coach on board, but the club's sporting director has revealed that the former Chelsea boss has intimated his desire to depart
Reports in France indicated that the Italian had met with club owner Nasser Al-Khelaifi and the Brazilian club chief on Sunday and revealed his desire to depart Parc des Princes this summer.
PSG have already confirmed that Madrid - whose head coach Jose Mourinho is widely believed to be Chelsea-bound - have bid for Ancelotti but Leonardo is keen to keep hold of the ex-AC Milan trainer.
"Carlo has asked to go to Madrid but we want him to stay on," Leonardo told L'Equipe on Sunday. "No decision has been taken yet, we just listened to Carlo.
"We will look at the situation a little. The priority is still to keep him on. We have never contacted other coaches [while [Ancelotti has been in charge]."
He added to RMC Sport: "Carlo Ancelotti has a contract and it is binding for both parties. At the time that I am speaking, Ancelotti is still PSG coach. Carlo is the best coach for the club, I hope he will stay."
Ancelotti guided PSG - bolstered by the likes of Zlatan Ibrahimovic, Thiago Silva and Ezequiel Lavezzi last summer - to their first Ligue 1 title in 19 years earlier in May.
Following les Parisiens' 3-1 win over Stade Brestois on Saturday - in which David Beckham played what is set to be his final professional game - the club have one final game left this season at Lorient next Sunday.