Experts have found the drink contains a molecule which appears to have anti-inflammatory and neuroprotective qualities - which means it could protect against memory loss.
It could even protect against insulin resistance - which is one of causes of type 2 diabetes.
The molecule is called Epigallocatechin - 3-gallata.
Scientists have looked in to the effect on the molecule on a high-fat and high fructose diet (HFFD) - the first research of its kind to be carried out.
Experts have previously believed green tea has the ability to treat a range of human diseases.
"Green tea is the second most consumed beverage in the world after water, and is grown in at least 30 countries," said Dr Xuebo Liu, a researcher at the College of Food Science and Engineering, Northwest A&F University, in Yangling, China.
"The ancient habit of drinking green tea may be a more acceptable alternative to medicine when it comes to combatting obesity, insulin resistance, and memory impairment."
Experts divided mice into three groups based on diet.
Researchers found the mice fed the high fat, high fructose diet had a higher final body weight that the HFFD and EGCG mice.
The also found the mice fed EGCG responded better in memory tests.
The findings suggest there may be cognitive benefits to be gained from EGCG.
The study authors said: "To our knowledge, this study is the first to provide compelling evidence that the nutritional compound EGCG has the potential to ameliorate HFFD-triggered learning and memory loss."
Obesity and high fat diets can increase the risk of type 2 diabetes, coronary heart disease, cancer and stroke.
The study was published in the FASEB Journal.
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