Nicholas Wolterstorff explains what he thinks it means.
So in my view, in my way of thinking, there are two components here, in a theistic account. One is that we have a certain nature which sets us apart from alligators and crocodiles and beetles and so forth – human nature, by virtue of which we bear a resemblance to God. But I think one has to add something to it. We’re also beloved of God, and beloved of God in a way in which the crocodiles and the alligators are not. And being beloved of God gives us worth, just … and I give an analogy: suppose the king in some ancient monarchy feels lonely, just says that he wants to befriend certain people in the realm. And he picks them – not necessarily because they’re the noblest or whatever, but he selects them. That’s a matter of honour on their part, they’ve been singled out for an honour. If they’re writing up their curriculum vitae, they could say: I was honoured by the king as someone that he wanted to be friends with.