Sustainable economics & policy

Green Growth

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Definition

Green growth means fostering economic growth and development while ensuring that natural assets continue to provide the resources and environmental services on which our well-being relies. Launched as the OECD's strategy in 2011, it focuses on the synergies and trade-offs between the environmental and economic pillars of sustainable development, using innovation, investment, and pricing to decouple growth from environmental degradation.

References

OECDGreen growth in cities (OECD defines green growth as fostering economic growth and development while ensuring natural assets continue to provide the resources and environmental services on which well-being relies)

official definition

Overview

What it means

Green growth is the optimistic middle position in the growth debate: growth and environmental protection are not inherently contradictory if prices, technology, and policy align. Critics — from degrowth and steady-state perspectives — question whether absolute decoupling at the required scale and speed is empirically achievable, making green growth as much a hypothesis under test as a strategy.

How it is used

The concept structures OECD country reviews, green growth indicators, and national strategies; sibling institutions (GGGI, Global Green Growth Platform) operationalise it in developing countries.

Why it matters

It is the dominant policy frame for reconciling development with environmental limits — and the debate over its validity defines the economics of sustainability.

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Meaning status
Established
Verification date
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Last updated
18 Aug 2026
What the classifications mean

Meaning status: Established

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