Sterling being in match squad is a way of Kenny saying, "We like what we see, lad, so keep it up." He might not get any game time at all, but he'll remember hanging out with the first team in Prague until he's a first team regular.
Agreed. I don't think he needs to play. Just being part of the first team squad will be enough of a buzz for him!
If all goes well in the away leg, i would give him a few minutes at anfield since he will be more settled after a week with the team which will allow him to focus on his game when he gets his chance.