The youngster has made 38 appearances for City since his debut in November 2017 in a Champions League tie against Feyenoord.
Speaking to talkSPORT, Owen said: "It is a big debate. He is training with some of the greatest players on the planet every single day and with Pep Guardiola but there is nothing quite like having hardened pros either side of you and going on loan almost rounds you off as a player.
"I don't think you have to be choosy (about a club) just get him out there, get him playing games. (He will learn) how to win, how to please fans and how to play well when your touch is a bit off."