2,3-Butanediol (2,3-BDO) is a synthetic chemical compound that also can be produced by biomass fermentation, which is gaining share in the global market as an intermediate product for numerous applications, i.e. as liquid fuel or fuel additive. Several metabolic engineering fermentation strategies to enhance the production of 2,3-BDO were developed. However, the recovery of 2,3-BDO from its fermentation broth remains a challenge due to its low concentration and its solubility in water and other components. Thus, a cost-effective recovery process is required to deliver the required purity of 2,3-BDO. This paper presents a new process development and techno-economic analysis for 2,3-BDO purification from a fermentation broth. Conventional distillation and hybrid extraction-distillation (HED) processes are proposed in this study with detailed optimization and economic analysis. Particularly, a systematic solvent selection method was successfully implemented to determine a good solvent for the proposed HED configuration based on numerous experimental data obtained with each solvent candidate. NRTL and UNIQUAC property methods were evaluated to obtain binary interaction parameters of 2,3-BDO through rigorous Aspen Plus regression and validated using experimental data. Total annual cost (TAC)-based optimization was performed for each proposed configuration. Even though the HED configuration required 9.5% higher capital cost than conventional distillation, placing an extraction column before the distillation column was effective in removing water from the fermentation broth and significantly improved the overall process economics. Oleyl alcohol was found to be the most suitable solvent for the HED of 2,3-BDO due to its high distribution coefficient and high selectivity. The proposed HED drastically reduced reboiler duty consumption and TAC by up to 54.8 and 25.8%, respectively. The proposed design is expected to be used for the commercial scale of 2,3-BDO production from fermentation process.