The South American team are looking for a new head coach following losing to Australia in the World Cup playoff, which resulted in the departure of Ricardo Gareca.
After not qualifying for the World Cup, Peru are now preparing for the next cycle and have been considering a number of candidates.
Bielsa has been heavily linked with the job and he did manage Argentina and Chile previously in his career.
But according to Argentinian daily La Nacion, Bielsa is not going to become the next head coach of Peru.
The speculation has been played down and there are no truth to the claims of it happening at the moment.
Peru are looking at a number of names and Bielsa is not one of the names on their shortlist.
Former Peru international Juan Reynoso, who recently left Mexican outfit Cruz Azul, is one of the names they are tracking.
Bielsa has been out of work since leaving Leeds in February and came close to becoming the Athletic Bilbao coach this summer.
