Bale and Jonathan Barnett met in London this week, leading to suggestions in Spain that Bale could be on his way to China.
A deal was agreed in the summer to take Bale to Jiangsu Suning, but the deal was cancelled by Real, who opted to instead keep the winger, and Barnett has now confirmed his client is happy in Spain.
“Gareth is delighted to play in Madrid<" Barnett said when asked if Bale would be leaving the Spanish capital.
“China? Don’t believe everything you hear.”
Manchester United have also been linked with a move for Bale.
He is currently out injured with an undisclosed injury believed to have been suffered while on international duty with Wales.
Real Madrid manager Zinedine Zidane is keen to get him back fit and firing, and insists the player never talks about a potential departure.
“I don't think he ever talks about leaving," Zidane said. "When he's available he trains and plays. He's played a number of games.
“I have to say we have a good relationship. He's here with us, he trains well and works well when he's available.
"He's not available at the moment because he's got an injury, that's all.
"The problem is, there is a lot of talk about lots of different things. The important thing is that he's ready when he's 100 per cent.
"He's a good player, you know what kind of player he is. At the moment he's not available. You're all trying to create something that isn't there in our relationship.”
Real Madrid take on Leganes tonight hoping to move within a point of La Liga leaders Barcelona.
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