Kartika would become the first Muslim woman to be caned in Malaysia, where about 60 percent of the 28 million people are Muslims.
However, no date was set for the caning.
Kartika, a former model and nurse, was sentenced in Jul 2009, to six strokes of the cane and a fine of 5,000 ringgit ($1,400) for drinking beer in Dec 2007 at a beach resort.
Islam forbids Muslims from drinking alcohol. Shariah laws apply to Malaysian Muslims in all personal matters.
The government requested the Shariah High Court Appeals Panel in Kuantan, the capital of Pahang, to review the verdict.
"I found that the High Court Judge had acted accordingly within his jurisdiction as provided" said relevant laws of Pahang state, Pahang Shariah Chief Judge Abdul Hamid Abdul Rahman told The Star.
"As such, the decision stays," said he.