Does this issue occur when all extensions are disabled?: Yes

• VS Code Version: Insiders Version: 1.115.0-insider
• OS Version: Windows 11

Steps to Reproduce

1. Open VS Code Insiders with no folder open (File → Close Folder).
2. Open the Command Palette (Ctrl + Shift + P).
3. Type and run Git: Clone.
4. Select or paste any repository URL (e.g. a public GitHub repo).
5. After selecting the repo, the flow stops. No destination folder selection dialog appears.

Expected Behavior

After choosing the repository, the native folder picker should appear so I can select the destination/parent folder for the clone.

Actual Behavior

The destination folder selection step is completely skipped. The clone process does not proceed further.

Additional Information

• The issue does not occur in the official VS Code Stable (Version: 1.114.0) release on the same Windows 11 machine. In Stable, the full flow works normally: repo selection → destination folder picker appears → clone completes successfully.
• No error messages are shown in the Git output channel.
• This appears to be a regression specific to the Insiders build.

Workaround

Use the official Stable version for cloning operations.