Arsenal has responded well to the sale of former captain
But Wenger insists his squad, boosted by the arrivals of
"I have no doubt about the desire and hunger of my squad. Tomorrow will just tell you how strong we are at the moment," said Wenger.
"I believe we are quite strong, but we have some room for improvement.
"All is not perfect, but the signs we are giving are very good and very strong.
"The hunger is massive in this squad. They want to do well, they are focused and they want to win.
"We want to continue to improve."
Wenger accepts that while the title may not be on the line this weekend, the chance to strike a mental blow to City's aspirations of a successful defence of its crown is.
"It is the beginning of the championship and you know that this game can have a big influence on the belief of both teams, so who will have the upper hand has a psychological advantage," Wenger said.
"On that front it's a very exciting game and while it is still very early in the season, already it is a very important game for me."
Wenger is expecting another close contest at the top of this season's English Premier League, no matter what the leading sides may achieve in
"Manchester City didn't win the championship last year by 10 points," Wenger said.
"It was in the last two minutes, so it was very, very tight, and I think it will be very tight again this year."
Midfielder Mikel Arteta can also see what an impact beating City could have on the rest of Arsenal's campaign.
He told Arsenal Player: "It is still too early, whatever happens on Sunday, but if you get points there, and you win then you make a bit of a statement.
"It grows the confidence of the team and everyone around it who believes we are as good as anyone in this league. These are good places to show that."
The Spanish midfielder added: "It is a huge test for us. We have been playing well.
"We played really good when we went to
"This is another test. Man City haven't lost at home for a while. "We know it's going to be difficult, but I am sure they will be thinking the same thing."
Arsenal must do without goalkeeper
Wenger said of Mannone: "Football is down to competition and performances. It is a good opportunity for Mannone to show the quality that I believe he has.
"The games, up until now, indicated he has that."
England defender Keiran Gibbs has warned Arsenal can only get stronger next season after winning eight of its final 10 Premier League matches to secure a top-four finish - and with it another shot at the UEFA Champions League.