Mbappe, 18, has scored 19 times in 32 appearances for his Ligue 1 side this season, leading to suggestions that a number of clubs, including Manchester United, Arsenal and Real Madrid, want to sign the youngster.
Balague has suggested that the plan is for the teenager to spend one more season at Monaco before moving on, although the Spaniard would not be surprised to see Mbappe leave this summer.
"Of course he is on Real Madrid's radar. Every club you can think of, everybody has made an offer for Mbappe," Balague told Sky Sports News.
"At the moment his agent is saying that he wants to stay one more year but if the offer ends up being amazing they may change their mind. However, at the moment, and I repeat, at the moment, what they want is to stay."
Real Madrid were interested in signing Mbappe during his youth career at local club AS Bondy, but Monaco ultimately brought the attacker to Stade Louis II in 2013.