Background: Hepatitis C virus (HCV) infection is considered to increase the possibility of incidental type 2 diabetes mellitus (Type 2 DM) in prone subjects, independent to the stage of liver disease. The approaches through which HCV infection initiates T2DM include direct effects of HCV, insulin resistance, proinflammatory cytokines and other immune-mediated mechanisms. Objectives: Assessing the outcome of direct acting antiviral drugs for therapy of chronic HCV infection on insulin resistance and blood sugar control in type 2 diabetes mellitus. Patients and Methods: This study was carried out on 270 type 2 DM patients with genotype 4 chronic HCV. 240 patients were exposed to direct acting antiviral agents (DAAs) in the form of sofosbuvir plus daclatasvir with or without ribavirin for 12 weeks, while the residual 30 patients did not give DAAs and used as a control group. Patients who attained the sustained virologic response (SVR) 12 weeks after DAAs (226 patients, 94.2%) were categorized into three groups based on the end-point of blood sugar control, i.e. the achieved blood sugar control  group with chronic hepatitis (group A) which composed of 83 patients (36.7%), the achieved blood sugar control group with liver cirrhosis child A (group B) which comprised 76 patients (33.6%), and the non-achieved blood sugar control group with liver cirrhosis child B (group C) which included 67 patients (29.6 %). Results: In group A, 30 patients (36.1%), and group B, 25 patients (32.1%) required to decrease the dose of antidiabetic therapy. There were no statistically significant variations between our groups as regard to age, sex, and body mass index (BMI). Patients in group C (Liver cirrhosis Child-Pugh classification B with non-achieved blood sugar control) have positive family history of type 2 DM and prolonged duration of DM if compared to group A, and group B. Conclusion: In type 2 diabetic patients with chronic HCV, the usage of direct acting antiviral agents led to a substantial improvement in blood sugar control and should be closely observed for antidiabetic dosage reduction to halt hypoglycemic events. Eradication of HCV ameliorates insulin resistance as demonstrated by a reduction of plasma insulin, HbA1c, and HOMA-IR. Achievement of diabetic control in HCV patients treated with direct acting antiviral agents was of great value, especially in patients with mild liver disease (Child-Pugh class A), short duration of diabetes, and negative family history of T2DM, but was not correlated to body mass index, age, and sex.