The Green Economy and Inclusive Growth: A Systematic Literature

Abstract

This study explores the evolving nexus between the green economy and inclusive economic growth through a systematic literature analysis of peer-reviewed publications from the last five years. The green economy has emerged as a transformative framework aimed at addressing pressing environmental challenges such as climate change and resource depletion while simultaneously promoting social equity and economic inclusion. Findings from the literature reveal that green investments in sectors like renewable energy, sustainable agriculture, and green infrastructure have the potential to generate employment, reduce poverty, and improve access to essential services, particularly in developing countries. Additionally, green finance mechanisms, such as green bonds and public-private partnerships, are recognized as critical enablers for financing inclusive transitions. However, the transition to a green economy faces significant challenges, including institutional limitations, unequal policy outcomes, and risks of exacerbating social exclusion. Inclusive governance, equity-focused policy design, and international cooperation are thus identified as crucial to ensuring that green economic transitions are just and sustainable. This study contributes to the academic discourse by synthesizing key themes, identifying gaps, and offering insights for policy development that align environmental sustainability with social justice imperatives.