PurposeThis paper presents a systematic literature review of the various aspects of reverse logistics (RL) and closed-loop supply chains (CLSC) in implementing and achieving circular economy (CE) motives. CE is identified as a method of embracing imperishability into the economic structure, helping shift from a linear to a condition leading to ecological and social benefits.Design/methodology/approachSystematic literature was used to review a total of 80 peer-reviewed articles are included in the study and covers different concepts related to the implementation of CE, such as cost-saving, network design, sustainable RL, waste management and extended producer responsibility.FindingsThe findings reveal that the research in the domain is in a growing phase, and in recent years, a lot of attention has been given by researchers across the globe. However, further research is required in crucial areas for the adoption of CE, such as retail reverse logistics, pharmaceutical industries and resource recycling industry.Practical implicationsThe study discusses the business needs and solutions for industries. Key enablers and barriers are listed along with the main activities involved in each sector in CLSC. Managers can design a pathway to decide which lever to use to overcome a particular challenge.Originality/valueThe work contributes theoretically by developing research themes in RL and CLSC practices applied to CE. It also provides theoretical and practical implications of the study, which can be used as a signboard for further research.