The Citizens are set to host Amakhosi in a Premier Soccer League (PSL) match at Newlands Stadium in the Mother City.
McCarthy has identified Billiat as Chiefs' main threat and he believes the former Mamelodi Sundowns attacker will require special attention.
“Khama Billiat has not really had a mention, because he has hardly featured for Chiefs this season," McCarthy told the media.
"He played in the CBL Cup, and that was it. But now he’s here, and his reputation precedes him."
Billiat made his first appearance of the season during Chiefs' 1-1 draw with SuperSport United in a PSL match over the weekend after recovering from an injury.
Former Orlando Pirates striker McCarthy has revealed Mkhize will be tasked with man-marking Billiat in the battle between two undefeated teams in the PSL this season.
"He is fantastic all over, and you’ve got to pay attention to a player like that,” the Bafana Bafana legend said.
“But I’m okay. He’s playing in the side of Thami Mkhize, who is the best right-back in the country at the moment."
McCarthy went on to wish good luck to Billiat against Mkhize, who has established himself as Bafana's first-choice right-back.
"I don’t think there is a player whom you would rather have face [Billiat], no matter the qualities that they have," he added.
“But if they are up against my captain, then yeah, good luck.”
Billiat found the back of the net as Chiefs defeated City 4-1 in a PSL match at the Cape Town Stadium on15 September 2018.