The green economy is a transformative economic model that aligns sustainability with fiscal efficiency, addressing critical environmental and economic challenges. This paper explores the role of the green economy in improving state budgets through revenue generation, cost reduction, and economic growth. It highlights mechanisms such as pollution taxes, carbon pricing, and green incentives that create new revenue streams, while showcasing the fiscal benefits of reduced spending on environmental damage and enhanced energy efficiency. The green economy also drives economic diversification by fostering green jobs and attracting sustainable investments. Despite its potential, challenges such as financial barriers, policy gaps, resistance from traditional industries, and limited awareness hinder its implementation. This paper calls for coordinated efforts from policymakers, industries, and citizens to embrace green economic principles, offering a vision for a sustainable future with long-term fiscal stability and environmental resilience.

Green economy, state budget, sustainability

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