"Terence is a top player who we've followed from his time at Feyenoord," Wagner said in a statement.
"His big summer move to Monaco put him out of our reach at the time, but we're delighted we can bring him in on loan now. He is a high-quality young centre-back and will provide us with a great option for the rest of the Premier League season.
"He's athletic and mobile and he plays on the front foot in the way he defends and uses the ball. I'm excited to work with him during the course of the season."
Kongolo, who has won three caps for Netherlands, made six appearances for Monaco this season, mostly at left-back position.
(Reporting by Hardik Vyas in Bengaluru; editing by Amlan Chakraborty)
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