In modern society, the green economy and digital transformation represent two key developmental directions shaping a sustainable future. This paper explores the interrelationship between digital technologies and the green transition, specifically how digital transformation influences the redefinition of economic models toward greater environmental sustainability. Through the analysis of contemporary digital tools such as artificial intelligence, the Internet of Things (IoT), blockchain technology, and big data analytics, the paper demonstrates how these tools enable the optimization of resource consumption, reduction of harmful gas emissions, and advancement of the circular economy. Special focus is given to the energy, agriculture, and urban planning sectors, where digital technologies are already showing significant potential for both ecological and economic benefits. The paper also addresses implementation challenges, such as the digital divide, high initial investments, and regulatory barriers. It emphasizes the need for a multisectoral approach, connecting the public sector, industry, and research institutions to create efficient and inclusive strategies for eco-digital transition. The conclusion highlights that digital transformation is not merely a technical, but also a societal process that is changing the rules of the game within the context 480 ”Challenges of Digitalization in the Green Economy” Belgrade, October 30th, 2025 of the green economy – enabling the shift from a linear to a sustainable, circular, and data-driven economic system.