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Betaine aldehyde dehydrogenases (BADHs) are key enzymes in the biosynthesis of glycine betaine, which is an important organic osmolyte that maintains cell structure and improves plant tolerance to abiotic stresses, especially in halotolerant plants. Improving the drought tolerance of crops will greatly increase their yield. In this study, a novel <i>BADH</i> gene named <i>SgBADH</i> from <i>Suaeda glauca</i> was induced by drought stress or abscisic acid. To explore the biological function of <i>SgBADH</i>, the <i>SgBADH</i> gene was transformed into Arabidopsis. Then, we found <i>SgBADH</i>-overexpressing Arabidopsis seedlings showed enhanced tolerance to drought stress. <i>SgBADH</i> transgenic Arabidopsis seedlings also had longer roots compared with controls under drought stress, while <i>SgBADH</i>-overexpressing Arabidopsis exhibited increased glycine betaine accumulation and decreased malondialdehyde (MDA) under drought stress. Our results suggest that SgBADH might be a positive regulator in plants during the response to drought.