The rapid development of artificial intelligence (AI) presents significant opportunities and challenges for sustainable development. Ethical considerations in AI development and deployment are crucial to ensuring these technologies benefit society and do not exacerbate existing inequalities or create new ethical dilemmas. This paper explores the intersection of ethical AI, sustainable development, and the pivotal role of leadership in fostering responsible innovation. By examining frameworks, case studies, and leadership strategies, the paper highlights how leaders can guide ethical AI practices to support sustainable development goals (SDGs).