<p>Diabetes type 2 (T2D) is a metabolic disease associated with insulin resistance, systemic inflammation, and the inability to maintain a normal glucose level. The new evidence is the central role played by the gut microbiome in the regulation of metabolic processes related to insulin sensitivity. The review is a summation of the recent developments in the area of microbiome research and its implications on insulin resistance and T2D. Special attention is given to the interaction between gut microbiota, their metabolites, and host metabolic pathways. Dietary fibers are fermented by gut bacteria, leading to the production of short-chain fatty acids (SCFAs) such as acetate, propionate, and butyrate. These SCFAs play an important role in improving insulin sensitivity and reducing inflammation, thereby contributing to better metabolic regulation. The discovery of biomarkers to diagnose insulin resistance in an early stage, predict risks and monitor insulin resistance is also being facilitated by developments in metabolomics and microbiome profiling. Moreover, the microbiome-specific approaches, such as prebiotics, probiotics, and fecal microbiota transplantation, are under investigation as the possible treatment options that could be used to restore microbial balance and enhance metabolic health. Despite the current issues about safety, efficacy, and regulatory concerns, microbiome-based and individual therapeutic interventions have a considerable potential in enhancing treatment and clinical outcomes in T2D. </p> Graphical Abstract <p></p>