The relevance of this research is determined by the growing importance of the green investment market in achieving the UN Sustainable Development Goals (SDGs). With proper government regulation, these investments can become a valuable tool for their implementation. This concept is grounded in an integrated approach to ESG (environmental, social, and corporate governance), which considers the interrelated and complementary aspects of environment, society, and governance. Recently, issues surrounding environmental and economic development, along with the financing and support of the green investment market, have gained increasing importance for domestic and international scholars, researchers, and practitioners. Nevertheless, despite the rising interest, numerous unresolved challenges remain regarding the establishment of an effective sustainable development model and the assurance of green security within the Russian economy and its regions. This research examines the primary challenges and opportunities for advancing green financing in Russia. The authors offer practical recommendations to improve the investment climate for environmental projects, which is crucial for promoting sustainable economic growth. Despite growing interest in green investments, this segment of the Russian financial market remains underdeveloped and understudied, creating obstacles to its further progress. The practical significance of this research lies in the potential to utilize the obtained results to evaluate the current investment landscape in the green finance market and develop strategies and measures to attract potential investors and stimulate their activity.