The 18-year-old has moved to Parc des Princes on a season-long loan, but the Ligue 1 club have an option to buy on a four-year deal when the season comes to an end.
Mbappe attracted attention from football’s elite clubs in the 2016-17 campaign after scoring 26 goals in all competitions for Monaco, but he has opted to remain in France.
The teenager will now join an attacking lineup alongside Brazilian star Neymar , who became the world’s most expensive footballer earlier this summer when he signed for PSG from Barcelona in a deal costing close to £200m.
It has been widely suggested that the Ligue 1 giants have pushed for an initial loan in order to structure a deal that stays within Financial Fair Play regulations.
According to ESPN , the permanent transfer is expected to cost PSG €180m (£165.9m) plus add-ons, which would mean that the club have spent more than £350m in two years on just two players.