Juventus had appeared to be leading the race for the French forward and were close to agreeing a loan deal that included a €40 million purchase option.
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However, financial constraints have stalled negotiations, prompting PSG to explore alternative solutions.
The Ligue 1 champions are keen to secure an exit for Kolo Muani in the coming weeks and have informed Juventus that rival clubs are now free to make their move.
Borussia Dortmund are also tracking the striker, while Tottenham Hotspur remain interested despite his disappointing loan spell in North London, where he struggled to make a significant impact.