Sometimes when you are creating a new app in AWS Beanstalk, the environment fails to be created or launched because of missing permissions for the service role.
The health status might also be shown as a warning with a similar error. You need to head to IAM Roles and assign new permission to "aws-elasticbeanstalk-service-role".
Attach "AWSElasticBeanstalkManagedUpdatesCustomerRolePolicy" policy to the service role for the error to be fixed.
The "AWSElasticBeanstalkFullAccess" policy has been removed by AWS. So the above-mentioned policy needs to be attached.