Despite its rapid growth and the opportunities it brings, integrating Artificial Intelligence (AI) in Higher Education (HE) worldwide raises important ethical and sustainability concerns that need to be addressed to ensure responsible and equitable adoption. AI offers means to personalize learning, lower operating costs, and foster a culture of innovation. Nevertheless, its implementation faces distinct challenges; challenges ranging from low digital literacy levels and a lack of proper infrastructure, to the impact of cultural fac-tors on how well AI-driven solutions are accepted and perform. This study analyses how AI can support educational institutions within an ethical and sustainable framework. It aims at providing a practical framework for an ethical and socially responsible AI adoption within HE. The framework emphasizes core values like transparency, inclusivity, accountability, and sustainability. It specifically recommends creating targeted policies and procedures for managing AI system use to ensure that these systems are explainable, auditable, and free from bias. The framework also stresses the necessity of involving all stakeholders, including instructors, learners, policymakers, and industry leaders, in the development and implementation of AI systems. Furthermore, it calls for building a strong digital infrastructure and training initiatives to improve both faculty and learner capabilities.