<p>This study explores the relationships between remittances, natural resource rents, economic growth, foreign direct investment, technological innovation, and industrialization to evaluate their influences on environmental sustainability in low and middle-income economies. These nations require a solution between ecological conservation and sustainable development, as economic growth is a primary driver for worldwide expansion. The research examines LMIE panel data through advanced econometric models, which consist of CS-ARDL (Cross-Sectionally Augmented Autoregressive Distributed Lags), DOLS (Dynamic Ordinary Least Squares), and FMOLS (Fully Modified Ordinary Least Squares). The applied methods handle both panel heterogeneity and cross-sectional interdependence that traditional analysis models fail to address. This study investigates remittance funding for clean energy solutions alongside its effects on energy usage expansion. The analysis explores how fast industrial expansion creates environmental tensions, while FDI produces two conflicting effects because it delivers modern technology, yet leads to polluting industrial sectors. The research examines technological advancements that could help decrease emissions while making resources more efficient, even though funding and infrastructure limitations exist. The study investigates how these drivers jointly affect environmental sustainability by assessing governance and policy measures designed to minimize their negative ecological consequences. This research uses information from COP 28 climate policy discussions to deliver timely recommendations that guide policymakers in LMIEs. The study adds to EKC and pollution haven hypothesis knowledge through recommendations about how LMIEs can integrate green technologies with sustainable industrial practices and strategic FDI management to achieve sustainability.</p> Graphical abstract <p></p>