["Corporate Social Responsibility and Environmental Management, EarlyView. ", "\nABSTRACT\nThis study examines how corporate engagement with the United Nations Sustainable Development Goals (SDGs) influences firms' cash holding behavior. We develop a firm‐level SDG Adoption Index—calculated as the average of 17 binary SDG indicators derived from Refinitiv Eikon data based on firms' annual and sustainability disclosures—and apply it to a global panel of 42,055 firm‐year observations covering 10,479 firms across 90 countries over the period 2016–2024. Using a fixed‐effects (FE) framework with year, industry, and country controls, we find a strong positive relationship: greater SDG adoption is associated with higher cash holdings, with a one‐unit increase in the index leading to a 0.0139 percentage‐point rise in cash‐to‐asset ratios. When disaggregating the index, the social dimension exhibits the strongest marginal effect on cash. To address endogeneity, we employ two‐stage least squares (2SLS) with instrumental variables and a Heckman selection model, both of which confirm a positive causal link. Additional robustness checks using binary SDG measures yield consistent results. Cross‐sectional analyses—based on pollution intensity, G10 classification, and market development—show that the SDG–cash relationship is more pronounced among non‐polluting firms, non‐G10 countries, and emerging markets. Furthermore, liquidity is found to weaken this association. Overall, the findings support the precautionary motive and stakeholder theory, suggesting that firms with broader SDG commitments maintain higher cash reserves to finance sustainability initiatives and hedge against related uncertainties. These insights offer important implications for sustainable finance stakeholders, ESG investors, and policymakers working toward the 2030 Agenda.\n"]