Green Sukuk, a Sharia-compliant financial instrument, has gained prominence as a means to fund environmentally sustainable projects while adhering to Islamic finance principles. This study empirically analyzes the impact of Green Sukuk investment (GSI) by Islamic banks on sustainable development in the United Arab Emirates (UAE). Utilizing robust least squares (RLS) regression, this study examines the influence of GSI on the Sustainable Development Goals Index (SDGI), controlling for financial development (FDEV) and foreign direct investment (FDI). The results reveal that GSI significantly contributes to the SDGI, underscoring its role in promoting sustainable development. FDEV and FDI also show significant positive effects on sustainable development, highlighting the importance of a robust financial and investment environment. These findings suggest that targeted financial instruments and strong financial infrastructure are crucial for achieving Sustainable Development Goals (SDGs) in the UAE.