The 10-time European champions , Real Madrid struggled to play their game with substitute Nacho scoring the only goal of the game minutes after replacing injured Marcelo.
Los Blancos initially struggled to get going at the Santiago Bernabeu and the French visitors looked the stronger side throughout the first half of the Group A clash.
However, an opportune finish from defender Nacho, helped by some awful positioning from PSG shot-stopper Kevin Trapp, proved decisive.
PSG responded excellently by bombarding the hosts’ goal, Adrien Rabiot and former Madrid winger Angel Di Maria both hitting the woodwork, but the home side held on.
Malmo’s 4-0 defeat at Shakhtar Donetsk meant Madrid are guaranteed a top-two finish with two more games to go while PSG’s undefeated run in 2015-16 is at an end.
Madrid boss Rafa Benitez recalled captain Sergio Ramos and first-choice goalkeeper Keylor Navas to the hosts’ line-up after the pair missed Saturday’s 3-1 triumph over Las Palmas, while Laurent Blanc strengthened his XI with Zlatan Ibrahimovic, Marco Verratti, Thiago Motta and David Luiz all coming in.
The match began with the same defensive robustness that was displayed two weeks ago when they played out a 0-0 stalemate at Parc des Princes.