Ce-Tb co-doped YBO₃ is synthesized using polyol method and further annealed at 800^oC. Structural studies are investigated using powder X-ray diffraction (XRD) and FTIR spectroscopy. Photoluminescence studies are envisaged by means of steady state and decay measurements for probing its optical properties. The characteristic emission of YBO₃:Tb³⁺ is enhanced remarkably with Ce³⁺ co-doping. The excitation spectra for Tb³⁺ emission consists of the characteristic excitation bands originating from Ce³⁺ and Tb³⁺ ions, which proves the occurrence of the energy transfer between Ce³⁺ and Tb³⁺. Critical distance for energy transfer using concentration quenching method is found to be 1.8 nm. Average lifetime value for ⁵D₄ level of Tb³⁺ in co-doped sample is found to be 4.5ms. Calculation of color coordinates shows that Ce-doped YBO₃:Tb³⁺ phosphor emits blue-green light (x=0.23,y=0.17).