<p>The green economy has emerged as a key framework for fostering economic growth and improving well-being while safeguarding the environment and addressing poverty alleviation. In Ethiopia, agricultural extension services play a vital role in advancing green economy practices. This review aims to examine the contribution of agricultural extension to promoting the green economy in Ethiopia. A systematic review of relevant theoretical and empirical literature was conducted, incorporating 77 thoroughly screened studies and drawing on secondary data from journals and reports published by government and non-governmental organizations, accessed through Google, Google Scholar, Scopus, and other relevant websites. The theoretical review focuses on defining key terms, relevant concepts, the status of the green economy, and an overview of agricultural extension, including extension approaches implemented in Ethiopia, whereas the empirical review primarily highlights and discusses the role of agricultural extension in advancing the green economy. Accordingly, the review reveals that agricultural extension services are significant factors in promoting sustainable and climate-smart agricultural practices, which are important elements in the transition to a green economy. It also highlights the role of extension services in supporting the economic and environmental dimensions of the green economy. The review concludes that the green economy is critical for Ethiopia’s economic development and can be effectively advanced through robust agricultural extension services.</p>