Liverpool sit four points clear of City at the summit with five matches left and on the verge of their first top-flight title in 24 years, although Manuel Pellegrini's men have played two games less.
With those fixtures in hand, Toure knows that ending Liverpool's 14-game unbeaten streak in the league will move City closer to a second Premier League crown.
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"The game will be very important," Toure told the Daily Mail.
"We know how difficult it will be [in the remaining games of the season] against teams fighting relegation but the important thing is going to Liverpool and trying to get a good result.
"After that we have to continue to perform because if we want to win the league we have to win all games."
Liverpool have exceeded all expectations this season after finishing seventh last campaign.
Toure paid tribute to Liverpool's resurgence, although he believes their absence from European football has proved beneficial.
"They have been amazing," he added. "They have had the advantage of playing one game a week and so they have been fresh.
"With players of their calibre, it helps to train all week and prepare for one game. It's going to be very, very tough until the end."
Luis Suarez and Daniel Sturridge have led the way for Liverpool this season, scoring 49 league goals between them.
But Toure says that the league leaders are more than a two-man team.
"They score goals like a machine," said the 30-year-old, who has netted 18 times himself throughout the campaign.
"Things are going to be tough for our defence and if we make a mistake, or we are not concentrating 100 per cent, we are going to pay.
Toure added: "Against Liverpool, everything is going to come from everywhere. [Steven] Gerrard can score penalties and free-kicks and Suarez is a danger man."