Biodegradable polymers present an environmentally safe alternative to reduce plastic waste by replacing traditional petroleum-based plastics. This review covered their classification, synthesis, properties, applications, and limitations, with examples of natural polymers, for example, starch and cellulose, and synthetic polymers like polylactic acid (PLA), polyhydroxyalkanoates (PHA), polybutylene succinate (PBS), and polycaprolactone (PCL). Different synthesis techniques, including bacterial fermentation, polymerization, and blending, were discussed for their advantages and disadvantages. These polymers have many uses in industry, including packaging, agriculture, biomedical applications, and textiles, but some limiting conditions exist, such as high processing costs, mechanical strength, and biological dependence for breakdown. To overcome these obstacles, a range of factors such as cheap feedstocks, genetic engineering, and improved processing, including green catalysts and nanocomposites, are worth investigating. It is also important to contextualize biodegradability in real-world cases that will shed light on the actual impact these polymers will have on the environment. If we continue this innovative research, amending policies, and work together as a sector, then biodegradable polymers will lead sustainable initiatives and drive us in the right direction towards a circular economy.