Spanish pundit Josep Pedrerol says Real Madrid must sell big before considering any new additions.

The host of the popular TV show El Chiringuito provided an alarming warning about Real Madrid's finances, stating that further cuts and sales must come first before any signings are considered.

"Real Madrid tell me that we are creating a false sense of optimism that worries the club," Pedrerol said on El Chiringuito.

"At Madrid they have to sell to survive. They have asked the players for a 10 percent wage cut, but they tell me that this cut could be as much as 25 percent. One or two players will have to be sold.

"Real Madrid's objective now is to lower the players' wages. We'll see what happens in the end.

"To reach the 150 million [euros] that Mbappe could cost in the summer is impossible given the club's economic situation."