Green economy could draw $4.1tn investment, create 48m jobs by 2047: Study

India could attract up to USD 4.1 trillion in cumulative green investment and generate 48 million full-time equivalent jobs by 2047, according to a new study by the Council on Energy, Environment and Water. The assessment outlines one of the largest economic opportunities linked to the country’s push towards a low-carbon, resource-efficient future.

The study identifies a USD 1.1 trillion annual green market by 2047, driven by 36 emerging value chains across the energy transition, circular economy and bio- and nature-based solutions. CEEW described the report as the first national assessment to quantify the scale of India’s long-term green economic potential as it advances towards its Viksit Bharat ambition.

Jayant Sinha, president of the Everstone Group and Eversource Capital, said at the launch that India’s green transition would be “fundamentally net positive”, generating jobs, strengthening national security and accelerating growth as the country shifts to domestic clean-energy systems. Sinha, a former Union Minister of State, pointed to the identified value chains as a roadmap for where the next wave of economic expansion could emerge.

Amitabh Kant, former G20 Sherpa and chief executive of NITI Aayog, said India must avoid replicating Western development models as it approaches a USD 3 trillion economy. He argued that the country’s still-unfinished infrastructure offers a chance to embed circularity, clean energy and bio-based manufacturing from the outset.

CEEW’s analysis suggests that the energy transition alone could account for USD 3.79 trillion in investment and 16.6 million jobs, spanning renewables, storage, distributed energy and clean-mobility manufacturing. Electric mobility is projected to be the single largest generator of green jobs, representing more than half of energy-transition employment.

Bio-economy and nature-based solutions could create as many as 23 million jobs and unlock USD 415 billion in market value, particularly in rural and peri-urban areas. Chemical-free agriculture, bio-inputs, agroforestry, sustainable forest management and wetland restoration are among the largest employment drivers identified.

The circular economy could add USD 132 billion in annual output and create 8.4 million jobs across waste collection, recycling, repair, refurbishment and material recovery. CEEW said formalising waste-related industries—responsible for 7.6 million of these jobs—could improve wages and working conditions while strengthening resource security.

Despite the growth potential, the study notes several structural challenges: high capital costs for early-stage sectors, fragmented supply chains for raw and recycled materials, weak innovation ecosystems, workforce skill gaps and the absence of credible product standards for emerging green technologies.

CEEW argues that coordinated action across ministries, state governments, industry and finance will be critical to integrate green value chains into mainstream economic planning. The think tank said that if the right policy and investment frameworks are put in place, the green economy could anchor India’s long-term growth while improving public health and resilience against climate risks.