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Bamboo is a natural building material that can be found in the tropical to mild temperate regions. It has been used from ancient times for its natural strength and flexibility. The renewed interest during the 1980s in bamboo as a construction material has revitalized bamboo not only as a cheap material but also as a durable material. Many bamboo-based building materials have also been developed which is more suitable for the modern construction needs. Bamboo has many environmental benefits which has made it a favorite green building material. This review critically studies not only the environmental aspects when bamboo is used as a building material but also its social and economic aspects, to understand its sustainability impact.