Psychosocial factors were studied in 30 young people with diabetes and 30 control subjects in the UAE. Patients perceived themselves more negatively than their parents on several domains. Also, they had lower scores in the areas of physical appearance and athletic competence when compared to control subjects. There were significant gender differences, with girls perceiving themselves more negatively. Better maternal education and availability of social support were associated with a positive self-image in the child. Parents of children exhibiting behavioral/emotional problems had a higher score on the parental General Health Questionnaire. Awareness and understanding of these psychosocial variables can help healthcare providers to target these issues as part of comprehensive diabetes management.