diff --git a/compat/precompose_utf8.c b/compat/precompose_utf8.c
index 0bd5c24250a4fb..5a7c90c90d9737 100644
--- a/compat/precompose_utf8.c
+++ b/compat/precompose_utf8.c
@@ -94,6 +94,16 @@ const char *precompose_string_if_needed(const char *in)
 	return in;
 }
 
+void precompose_strbuf_if_needed(struct strbuf *sb)
+{
+	char *buf_prec = (char *)precompose_string_if_needed(sb->buf);
+	if (buf_prec != sb->buf) {
+		size_t buf_prec_len = strlen(buf_prec);
+		free(strbuf_detach(sb, NULL));
+		strbuf_attach(sb, buf_prec, buf_prec_len, buf_prec_len + 1);
+	}
+}
+
 const char *precompose_argv_prefix(int argc, const char **argv, const char *prefix)
 {
 	int i = 0;
diff --git a/compat/precompose_utf8.h b/compat/precompose_utf8.h
index fea06cf28a52df..7c3cfcadb06341 100644
--- a/compat/precompose_utf8.h
+++ b/compat/precompose_utf8.h
@@ -30,6 +30,7 @@ typedef struct {
 
 const char *precompose_argv_prefix(int argc, const char **argv, const char *prefix);
 const char *precompose_string_if_needed(const char *in);
+void precompose_strbuf_if_needed(struct strbuf *sb);
 void probe_utf8_pathname_composition(void);
 
 PREC_DIR *precompose_utf8_opendir(const char *dirname);
diff --git a/git-compat-util.h b/git-compat-util.h
index ca7678a379dcbc..892e1f90676239 100644
--- a/git-compat-util.h
+++ b/git-compat-util.h
@@ -344,6 +344,7 @@ static inline const char *precompose_string_if_needed(const char *in)
 	return in;
 }
 
+#define precompose_strbuf_if_needed(a)
 #define probe_utf8_pathname_composition()
 #endif
 
diff --git a/setup.c b/setup.c
index f00f6cf2b69f09..5311377d3bc36c 100644
--- a/setup.c
+++ b/setup.c
@@ -49,7 +49,7 @@ static int abspath_part_inside_repo(char *path)
 	size_t wtlen;
 	char *path0;
 	int off;
-	const char *work_tree = get_git_work_tree();
+	const char *work_tree = precompose_string_if_needed(get_git_work_tree());
 	struct strbuf realpath = STRBUF_INIT;
 
 	if (!work_tree)
diff --git a/strbuf.c b/strbuf.c
index 0d929e4e195fa3..d5b4b3903aaffd 100644
--- a/strbuf.c
+++ b/strbuf.c
@@ -592,6 +592,7 @@ int strbuf_getcwd(struct strbuf *sb)
 		strbuf_grow(sb, guessed_len);
 		if (getcwd(sb->buf, sb->alloc)) {
 			strbuf_setlen(sb, strlen(sb->buf));
+			precompose_strbuf_if_needed(sb);
 			return 0;
 		}
 
diff --git a/t/t0050-filesystem.sh b/t/t0050-filesystem.sh
index 325eb1c3cd0add..5a9ee5be925e40 100755
--- a/t/t0050-filesystem.sh
+++ b/t/t0050-filesystem.sh
@@ -156,4 +156,30 @@ test_expect_success CASE_INSENSITIVE_FS 'checkout with no pathspec and a case in
 	)
 '
 
+test_expect_success 'git ls-files under NFD' '
+	(
+		mkdir -p "somewhere/$aumlcdiar" &&
+		mypwd=$PWD &&
+		cd "somewhere/$aumlcdiar" &&
+		git init &&
+		git --literal-pathspecs ls-files "$mypwd/somewhere/$aumlcdiar" 2>err &&
+		>expected &&
+		test_cmp expected err
+	)
+'
+
+# Re-do the same test. Note: global core.precomposeunicode is changed
+test_expect_success 'git ls-files under NFD. global precompose false' '
+	test_when_finished "git config --global --unset core.precomposeunicode" &&
+	(
+		mypwd=$PWD &&
+		cd "somewhere/$aumlcdiar" &&
+		git config --global core.precomposeunicode false &&
+		git config core.precomposeunicode true &&
+		git --literal-pathspecs ls-files "$mypwd/somewhere/$aumlcdiar" 2>err &&
+		>expected &&
+		test_cmp expected err
+	)
+'
+
 test_done