According to Sport BILD, Bayern are considering a major salary increase for the winger as part of the proposed new deal, with his annual wages potentially rising to around 25 million euros.
However, Olise's representatives are also understood to want an important addition to the contract.
Sources close to the player have indicated that his camp would like a fixed release clause included, giving Olise a defined route to leave Bayern should a major offer arrive in the future.
The clause could be designed with Real Madrid in mind. The Spanish giants and president Florentino Perez have reportedly maintained an interest in the 24-year-old.
Bayern already know the value of a release clause involving Olise. They signed him from Crystal Palace in 2024 after activating a clause worth 53 million euros.
If Olise agrees to remain in Munich until 2032, a release clause of more than 200 million euros could eventually give interested clubs the opportunity to make a huge bid.
Olise's recent form has strengthened his position further. The winger has made a major impact for France at the start of the 2026-27 UEFA Nations League, taking on greater attacking responsibility with Kylian Mbappe injured.
Under new France head coach Zinedine Zidane, Olise has been directly involved in all three of the team's goals so far, underlining his growing importance at international level.
