The frontman has got an extended run in the City first team after the injury absence of Sergio Aguero.
While Guardiola acknowledged that Aguero is nearly irreplaceable, he is happy with the progress of Jesus.
"He is young and we cannot forget it, but the way he fights is good and of course he has to improve, but every day he is better and better," Guardiola told reporters.
"What Gabriel has shown in his time here - there have been ups and downs - but he has been excellent.
"Sergio is irreplaceable. What he means to our fans, for what he has done, the goal against QPR… we need a good backup for all the players and Sergio has a great complimentary player in Gabriel.
"They have a great relationship. Sergio helped us win the last game, today it was Gabriel."