Display omitted •Resource efficiency is a key circular bioeconomy concept.•Microalgae based wastewater treatment results in beneficial biomass.•Outdoor open ponds with sufficient light supply enhances microalgal growth.•Nutrient dissipation by abiotic methods needs to be controlled.•Techno economic evaluation and LCA are required for effective implementation. The basic concepts of circular bioeconomy are reduce, reuse and recycle. Recovery of recyclable nutrients from secondary sources could play a key role in meeting the increased demands of the growing population. Wastewaters of different origin are rich in energy and nutrients sources that can be recovered and reused in a circular bioeconomy perspective. Microalgae can effectively utilize wastewater nutrients for growth and biomass production. Integration of wastewater treatment and microalgal cultivation improves the environmental impacts of the currently used wastewater treatment methods. This review provides comprehensive information on the potential of using microalgae for the recovery of carbon, nitrogen, phosphorus and other micronutrients from wastewaters. Major factors influencing large scale microalgal wastewater treatment are discussed and future research perspectives are proposed to foster the future development in this area.