The Spaniard has been impressed with the Blues ahead of Monday night's league meeting but says they need silverware to be considered alongside Barcelona
The league leaders visit the DW Stadium on Monday night as they aim to move three points clear of Manchester United in the table.
Martinez knows how good City can be having seen his side lose 3-0 at the Etihad Stadium last September thanks to a Sergio Aguero hat-trick, but believes that if they are to be considered alongside the likes of Barcelona, they need to win trophies.
"As a team what measures you as a good or a bad team is achieving things and winning titles,” he said.
"What Manchester City has done has been phenomenal. I know money has been important but to get a team out of the individuals is where the difficulty lies.
"They can win any competition they go into, and they have done a remarkable job but only time will tell how good they can be.
"Barcelona probably five years ago were in a similar situation, showing good signs.
"But you can only be measured as a great side when you win titles and that's probably the exciting times ahead for Manchester City because they are showing they have everything in place to win trophies."
Martinez also praised City manager Roberto Mancini and has been impressed by how much he has achieved at the club already since taking over in December 2009.
He added: "Roberto Mancini had a massive impact as soon as he arrived. He knew the Premier League through his spell at Leicester and he had achieved huge things in Italy.
"He's a special manager from a tactical point of view and he's someone who has always had the long-term planning of what he wanted at Manchester City.
"They were a very solid team, very hard to break down at the beginning, and then he added the attacking options that has made them one of the attacking forces in the Premier League.
"It's fascinating to see how he had that structured plan in his head and how he has developed that."