The 22-year-old enjoyed a successful 2021-22 campaign on loan at AC Milan before featuring for Portugal at this summer's European Championship.
The defender was linked with another loan move away from Old Trafford over the summer but ultimately remained with his parent club and has made two appearances for the first team this season.
Speaking ahead of Sunday's Premier League clash with West Ham United, Solskjaer was full of praise for Dalot, who was introduced as a substitute against Young Boys on Tuesday night after Aaron Wan-Bissaka was sent off in the Champions League contest.
"Yeah Diogo has had a very good summer with being called up to Euros, he did well for Portugal Under-21s and had a season on loan that learnt a lot from in Milan," Solskjaer told reporters.
"He kept fit, which was a big thing. And he's got qualities that we look at trying to exploit more and more, of course he's got more experience. We're not here just to loan out players for years and years. Last year's loan was to give him experience and game time and I think he did well when he came on the other night."
Dalot's current deal with the 20-time English champions is due to expire in June 2023. body check tags ::