Lloyd, 34, signed for English champions City on Wednesday on a short-team deal.
"This can only be a good thing, especially for the younger players in the squad to learn off her," Houghton told BBC Sport. "She is world class, and she is a leader.
"That can only benefit English players that are playing in this country."
Lloyd will join a City squad which includes England Under-19 midfielder Keira Walsh, England winger Nikita Parris, 22, and playmaker Isobel Christiansen, 25, as well as teenage England youth international forward Georgia Stanway.
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Houghton added: "To have someone of Carli's experience and leadership is something we wanted to bring to this club, as well as her football activity.
"This is what Manchester City is all about and, by attracting those sorts of players, we are heading in a direction where we want to be not only the best team in England but we want to be dominate in Europe as well."
Houghton's side, competing in their first European campaign, face Danish champions Fortuna Hjorring in March's Champions League quarter-final.
"This will be our first quarter-final and we do just need that little bit of experience and a cool head to come on the pitch," she continued.
"The Champions League for us is a massive competition and she [Lloyd] is a player with big-game experience."
US captain Lloyd became the third American player to join an English club this winter, after winger Crystal Dunn's move to Chelsea Ladies and midfielder Heather O'Reilly's switch to Arsenal.
England and Manchester City captain Steph Houghton believes her club's new signing, US star Carli Lloyd, can help their young English players to develop.