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Dwarf galaxies are by far the most numerous galaxies in the Universe, showing properties that are quite different from those of their larger and more luminous cousins. This review focuses on the physical and chemical properties of the interstellar medium of those dwarfs that are known to host significant amounts of gas and dust. The neutral and ionized gas components and the impact of the dust will be discussed, as well as first indications for the existence of active nuclei in these sources. Cosmological implications are also addressed, considering the primordial helium abundance and the similarity of local Green Pea galaxies with young, sometimes protogalactic sources in the early Universe. [ABSTRACT FROM AUTHOR]