Currently, the economic development of countries and regions is not possible without the implementation of the European Green Deal. A set of policy initiatives by the European Commission is closely related to such concepts as greening the economy, green finance, climate finance, climate change adaptation and mitigation, environmental protection, and others. This research is dedicated to highlighting the role of green finance in the environmental protection and development of the financial sector. Green finance connects the worlds of finance and business with environmentally friendly behaviour. In principle, all strategic decisions made by business organisations must take into account the potential impact on the environment, which means that value creation in the long term is integral to the well-being of current and future generations. The novelty of the research lies in the developed conceptual framework of the role of green finance in greening the economy. The conceptual framework covers three main elements of the green economy: the real green economy, green finance, and providers of green finance – the green financial sector and public funds. It is developed by applying the methods of content analysis and synthesis, comparison and logical modelling, model as a research design proposed by Jaakkola (2020), system test proposed by Arnold and Wade (2015) and the main features of the conceptual framework presented by Jabareen (2009). <br />Implications for the Central European audience: The main “green” economic and financial concepts are described, and their interconnectedness is revealed in this study. This is important in the stage of greening the economy when various actors – users of information and decision-makers – interpret the concepts differently. Different understanding and thinking slow down the development of the green economy. The developed conceptual framework provides a clear understanding of how business and public organisations, as well as individuals, can change their behaviour into environmentally friendly by investing in real investment projects or financial assets. Finally, the main research challenges and directions related to green real and financial investments are revealed.