<p>Diabetes is increasing globally at an alarming rate. Secondary complications such as nephropathy, neuropathy, cardiomyopathy, foot ulcer, increased oxidative stress, inflammation, lowered immunity, and lipotoxicity are associated with diabetes. The exploration of innovative therapeutic strategies is essential for effective diabetes management. A potentially effective treatment option for diabetes is nanotechnology. This review discusses the importance of herb-loaded and composite zinc oxide nanomaterials in diabetes treatment and diagnosis, as well as their future perspective in managing diabetes. Researchers and healthcare professionals are increasingly interested in zinc oxide nanoparticles and their organic and inorganic nanocomposites due to their potential applications in managing diabetes and its complications. Combination therapies may be possible once the mechanism by which zinc oxide nanomaterials synergise with conventional diabetes medicine is understood. This review systematically elaborates on various methods for the preparation of zinc oxide nanoparticles. The review also summarises various in vitro and in vivo studies, as well as toxicity studies. The article discusses various studies examining the co-administration of these therapies with other treatments on various diabetes parameters and secondary complications. The article also summarises the applications of zinc oxide nanomaterials in diabetes diagnostics, bone health, and bone tissue engineering. This review consolidates the current knowledge on zinc oxide nanomaterials as a novel therapeutic modality in diabetes management. Their multifaceted properties make them promising candidates for integration into the existing diabetes treatment arsenal and serve as a foundation for future research and clinical applications in improving patient outcomes.</p>