As you can notice, the background color of the decoration is slightly overflowing the circular border. I've tried in different ways (e.g. using ClipOval) but the result is always the same.

I have just faced the same issue. Easy workaround:
Container(
width: 28,
height: 28,
decoration: BoxDecoration(
color: Colors.green.withOpacity(0.25), // border color
shape: BoxShape.circle,
),
child: Padding(
padding: EdgeInsets.all(2), // border width
child: Container( // or ClipRRect if you need to clip the content
decoration: BoxDecoration(
shape: BoxShape.circle,
color: Colors.blue, // inner circle color
),
child: Container(), // inner content
),
),
),
Reference
Container(
height: 200,
width: 200,
decoration: BoxDecoration(
shape: BoxShape.circle,
border: Border.all(width: 1, color: Colors.red)
),
),
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