
WalesOnline understands the midfielder has turned down an initial offer from the club, which is believed to have fallen well short of the club's top earners.
Galbraith, who's made 44 appearances for the club this season, still has two years left on his current package, with the option of another 12 months.
However, the club are keen to tie him down to a new deal in light of an impressive first season in the second tier, which has attracted transfer interest from elsewhere.
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The club have already secured a new deal for star striker Zan Vipotnik that will run until 2030, a move that has substantially strengthened their hand in the face of possible transfer interest in the summer.
Despite the length still left on his deal, there's hope Galbraith will follow suit, and Matos says he's relaxed on where things stand with the Northern Irishman, who's currently sidelined with a calf injury.
"The position is a normal position," he said ahead of Saturday's trip to Norwich City. "He's under contract with the club. The club is always trying to have a stronger link with the players who are having a good season.
"That's what the club is trying. But that's something internal. There's not much to say when a player is under contract to us."
Asked if suggestions the 24-year-old had turned down an improved offer, he added: "I think they are speaking. That's a normal situation. You make an offer. They make an offer.
"Somehow in the middle there will be something. There's not too much to say I think. It's a normal situation."
"You never asked me if I turned down the first offer from Swansea!," he then joked, before adding he was "optimistic" the club would find a resolution.
"I think Gally has a lot of things we all love as a club and me as a manager as well. I like him as well," he added.
"Why not tie up the players you like for the future of the club? He's one of them. So I think that's what we're trying and the negotiations are part of that."