Comparatively good environmental situation and huge current economical and social problems in Latvia have resulted in situation where main political and mainstream research attention is devoted to social and economic problems, like unemployment, reduction of GDP, inflation or deflation, exchange rate, poverty reduction, etc. It is somehow understandable, that in periods of economic downturn governments neglect environmental issues. On the other hand economic downturn can be used as starting point for considerable changes in economy and people’s behaviour paying more attention to environmental constraints. Economic policy cannot neglect rising problems of resource exhaustion, biodiversity extinction, depletion of ecosystems, climate change, pollution and many more. There are two ways how these problems can be approached- economic policy incorporating main principles of Green economics and change of consumption patterns of population. The aim of the paper is introduction and to analyze current situation in Latvia according to Green economics perspective and examine viability of Green economics principles in Latvia in middle term future. with in the way to sustainable development and highlights how is novel insights provide new solutions. Materials and methods of the work. The paper also describes its distinctive methodology and innovation. The significant and increasing problems are grouped into four headings – ecological/ economical, intellectual, political and moral. Methodology used – analysis of social, environmental and economic theory, situations, statistical data. Main results. The paper introduces the new Green Economics discipline and range of knowledge than other schools of economics and experience in Latvia.