The young midfielder has been linked with a move to the Premier League champions, and local rivals City, but his experienced team-mate has advised him to stay at Camp Nou
The 22-year-old is supposedly considering his options due to his lack of regular first team action with the Catalans, with United closely monitoring the midfielder's situation at the Camp Nou side.
Nevertheless, Xavi has advised his fellow Spain international to remain at Barcelona and fight for his chance.
"I’d advise Thiago to stay patient because he’s a player who is bound to be a success at Barca," Xavi stated at a press conference.
"I think he is an extraordinary player. Thiago is not just a player for the future, but he is someone who can make an impact right now as well."
Thiago is a product of the Barcelona youth academy and has made over 50 Liga appearances since making his first team debut in May 2009.
The midfielder has a contract with the Blaugrana until the summer of 2015.