The Frenchman hit the headlines last week by declaring his interest in a move to Manchester United, leading to speculation that he is unsettled on Tyneside.
And along with free agent Eric Abidal, the 27-year-old is on the radar of the newly-promoted Principality club.
"Yohan Cabaye? He is an exciting player," Monaco CEO Vadim Vasilyev told L'Equipe.
"And Abidal is a strong player. If he could come back to Le Championnat everyone would be delighted."
The acquisition of French players from Ligue 1 is more difficult, as Monaco await the decision from the FFF about whether they need to pay taxes like any other French club.