Lowry joined Hearts on loan from Rangers in the summer and has been in impressive form at the Scottish Premiership team.
He has started four league games and has had European experience as well when he played in the Europa Conference League qualifiers.
His impressive performances at Hearts have led to suggestions that new Rangers boss Philippe Clement could recall him at the start of the January transfer window.
However, Dalziel insisted that Rangers must realise why Lowry is doing well as the midfielder is getting regular game time at Scottish Premiership level while playing for a good team.
He stressed that unless Rangers have a plan to play him, Lowry should spend the rest of the season at Hearts.
The former Rangers star said on Clyde 1’s Superscoreboard: “Yes, he is starting to show great form at Hearts.
“He has got great potential but let’s be honest about it, he is only getting better because he is getting game time at that level at a good club in front of very large support at Tynecastle.
“I think this loan is doing him a world of good.
“Unless I have got to play him, I wouldn’t recall him.”
Lowry featured 14 times in the Rangers team before he was loaned out to Hearts.
