diff --git a/.devcontainer/devcontainer.json b/.devcontainer/devcontainer.json
index 6cb62a529255b4..63da06c81cf467 100644
--- a/.devcontainer/devcontainer.json
+++ b/.devcontainer/devcontainer.json
@@ -17,31 +17,40 @@
     "initializeCommand": ".devcontainer/build.sh --tag matter-dev-environment:local --version 0.7.3",
     "image": "matter-dev-environment:local",
     "remoteUser": "vscode",
-    // Add the IDs of extensions you want installed when the container is created in the array below.
-    "extensions": [
-        "aaron-bond.better-comments",
-        "augustocdias.tasks-shell-input",
-        "christian-kohler.path-intellisense",
-        "eamodio.gitlens",
-        "editorconfig.editorconfig",
-        "esbenp.prettier-vscode",
-        "foxundermoon.shell-format",
-        "github.vscode-pull-request-github",
-        "maelvalais.autoconf",
-        "marus25.cortex-debug",
-        "ms-azuretools.vscode-docker",
-        "ms-vscode.cpptools",
-        "msedge-dev.gnls",
-        "redhat.vscode-yaml",
-        "vadimcn.vscode-lldb",
-        "xaver.clang-format",
-        "yuichinukiyama.vscode-preview-server",
-        "yzhang.markdown-all-in-one"
-    ],
-    // Use 'settings' to set *default* container specific settings.json values on container create.
-    // You can edit these settings after create using File > Preferences > Settings > Remote.
-    "settings": {
-        "terminal.integrated.shell.linux": "/bin/bash"
+    "customizations": {
+        "vscode": {
+            // Add the IDs of extensions you want installed when the container is created in the array below.
+            "extensions": [
+                "mcu-debug.debug-tracker-vscode",
+                "aaron-bond.better-comments",
+                "augustocdias.tasks-shell-input",
+                "christian-kohler.path-intellisense",
+                "eamodio.gitlens",
+                "editorconfig.editorconfig",
+                "esbenp.prettier-vscode",
+                "foxundermoon.shell-format",
+                "github.vscode-pull-request-github",
+                "maelvalais.autoconf",
+                "marus25.cortex-debug",
+                "ms-azuretools.vscode-docker",
+                "ms-vscode.cpptools",
+                "msedge-dev.gnls",
+                "redhat.vscode-yaml",
+                "vadimcn.vscode-lldb",
+                "xaver.clang-format",
+                "yuichinukiyama.vscode-preview-server",
+                "yzhang.markdown-all-in-one"
+            ],
+            "settings": {
+                "terminal.integrated.defaultProfile.linux": "bash",
+                "terminal.integrated.profiles.linux": {
+                    "bash": {
+                        "path": "/bin/bash",
+                        "args": ["-l"]
+                    }
+                }
+            }
+        }
     },
     "remoteEnv": {
         "GIT_PS1_SHOWDIRTYSTATE": "1",