Xavi clarified his position on the matter, stating that the Frenchman could still contribute to the team in what remains of the season.
"We have not found a solution to Dembele's situation. The circumstances were one way a month ago and another now," he said in his pre-match press conference.
"He is part of the club and the squad, he has a contract. We met with the president, the board and the technical secretariat and we have decided, just as we said [whether] he was renewing or leaving, that he is part of the squad and we cannot shoot ourselves in the foot.
"We have to use him, he can help us. He has been a good professional. It is a club decision and I'll use him when I think it's convenient. He's one more [player]," he added.
Xavi then gave his thoughts about how the Camp Nou faithful would receive Dembele.
"We are looking at everything possible to find a solution," he said.
"I understand everyone's position, even that of the fans who will be hurt by the player.
"We have to be selfish, think of ourselves, of what will be best for the club.
"He has a contract and we can help to fulfil the objectives of this season.
"We would have liked for the player to have renewed.
"[Hopefully] they cheer [Dembele]. I understand that there are angry and hurt people. He has been a good professional at all times and he is one more from the squad," he added.