The concept of circular economy (CE) is gaining increasing recognition among academia, policy-makers, industrialists and Government across the globe, because of its potential to offer useful solution to the pressing environmental, economic and social challenges of the 21st century. Large scale action and impact to create environmental awareness, attitude and behavior towards embracing circular economy is still needed in Nigeria. The concept of CE has not been sufficiently researched nor practiced and in effect, opportunities potent for sustainable development have not been adequately exploited. The aim of this study was to examine the relationship between circular economy and sustainable development with a view to adopt a CE business model as a strategy for sustainability in human quality of life in Nigeria. Ex-post facto (survey) research design was adopted for the study. Four Hundred (400) respondents were selected through multi-stage sampling technique. A questionnaire based on five (5) points Likert scale and tagged circular economy and sustainable development scale was adopted for the collection of necessary data. The Psychometric Properties (Validity and Reliability) of the instruments was tested with Factor Analysis and Cronbach Alpha respectively. Data collected were analyzed with regression analysis at 5% level of significance. The result revealed a significant positive relationship between recycling activities and sustainable development with correlation coefficient of 0.97 (P- value = 0.00<0.05). The study concluded that circular industrial activities will facilitate sustainable development in Nigeria and therefore recommends that government should intensify effort to promote activities in the recycling industry.