A new report by the State Bank of India (SBI) emphasizes the significance of sustainable urban development and green energy transition in India. The report suggests that initiatives like the Smart Cities Mission and AMRUT are essential for managing rapid urban growth while safeguarding the environment. It introduces the U-shaped hypothesis, indicating that urbanization leads to forest loss initially but eventually, stronger environmental policies facilitate forest cover recovery and improved land-use planning. SBI urges India to pursue urbanization with sustainability at its core to ensure long-term social and economic stability. The report calls for increased investments in green hydrogen, biofuels, solar parks, wind farms, and other renewable infrastructure to attract private investments and bolster climate-resilient cities. Additionally, it emphasizes the potential of green bonds in financing sustainable urban projects but highlights the need for robust environmental regulations and public awareness. SBI's report underlines the importance of sustainable urban growth to secure a greener and more resilient future for India's cities.