The Spain international midfielder penned a new two-year deal at the Santiago Bernabeu in January.
However, that has not prevented rumours surfacing that Alonso could once more link up with Rafael Benitez, who was his manager at former club Liverpool.
There were suggestions in the Italian media that Benitez's Napoli may look to take advantage of Real signing Toni Kroos by tabling an offer for Alonso.
But that scenario looks unlikely after Alonso's representative, Inaki Ibanez, stated his client will stay in the Spanish capital.
"I want to deny rumours that there has been any contact with Napoli," he told Europa Calcio.
"They have never been in contact with us. I can assure you that Xabi will remain with Real Madrid."
Alonso moved to Real in August 2009 and he has gone on to win La Liga and the UEFA Champions League.