City meet Gladbach later tonight in the first-leg of their round 16 tie.
Gundogan said, "Mönchengladbach has the necessary quality and knows how to play football and be aggressive.
"They have the right attitude and a good squad. They have a mix of players who are willing to put in the effort and in modern football it is absolutely necessary.
"Their qualification in the Champions League is the result of the work done in recent years. On a good day, they can beat anyone."
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