diff --git a/lib/PromptSession.ts b/lib/PromptSession.ts
index a0a000df6..ce29f857b 100644
--- a/lib/PromptSession.ts
+++ b/lib/PromptSession.ts
@@ -87,6 +87,9 @@ export class PromptSession {
 
 			Util.log("  Generating project structure.");
 			await projTemplate.generateFiles(process.cwd(), projectName, theme);
+			if (!config.skipGit) {
+				Util.gitInit(process.cwd(), projectName);
+			}
 			// move cwd to project folder
 			process.chdir(projectName);
 			Util.log(Util.greenCheck() + " Project structure generated.");
diff --git a/lib/Util.ts b/lib/Util.ts
index aa9dd3b25..ba1abe4c5 100644
--- a/lib/Util.ts
+++ b/lib/Util.ts
@@ -317,6 +317,23 @@ class Util {
 		return execSync(command, options);
 	}
 
+	/**
+	 * Initialize git for a project, located in the provided directory and commit it.
+	 * @param parentRoot Parent directory root of the project.
+	 * @param projectName Project name.
+	 */
+	public static gitInit(parentRoot, projectName) {
+		try {
+			const cwdir = path.join(parentRoot, projectName);
+			Util.exec("git init", { cwd: cwdir });
+			Util.exec("git add .", { cwd: cwdir });
+			Util.exec("git commit -m " + "\"Initial commit for project: " + projectName + "\"", { cwd: cwdir });
+			Util.log("Git Initialized and Project '" + projectName + "' Committed");
+		} catch (error) {
+			Util.error("Git initialization failed. Install Git in order to automatically commit the project.", "yellow");
+		}
+	}
+
 	private static propertyByPath(object: any, propPath: string) {
 		if (!propPath) {
 			return object;
diff --git a/lib/commands/new.ts b/lib/commands/new.ts
index 1b2ec1c5b..481a2169f 100644
--- a/lib/commands/new.ts
+++ b/lib/commands/new.ts
@@ -39,7 +39,6 @@ command = {
 		},
 		"skip-git": {
 			alias: "sg",
-			default: false,
 			describe: "Do not automatically initialize repository for the project with Git",
 			type: "boolean"
 		}
@@ -97,19 +96,8 @@ command = {
 		await projTemplate.generateFiles(process.cwd(), argv.name, theme);
 		Util.log(Util.greenCheck() + " Project Created");
 
-		this.git(argv["skip-git"], argv.name);
-	},
-	git(skipGit, projectName) {
-		if (!skipGit) {
-			try {
-				const cwdir = "./" + projectName;
-				Util.exec("git init", { cwd: cwdir });
-				Util.exec("git add .", { cwd: cwdir });
-				Util.exec("git commit -m " + "\"Initial commit for project: " + projectName + "\"", { cwd: cwdir });
-				Util.log(Util.greenCheck() + " Git Initialized and Project '" + projectName + "' committed");
-			} catch (error) {
-				Util.error("Git initialization failed. Install Git in order to automatically commit the project.", "yellow");
-			}
+		if (!argv["skip-git"] && !ProjectConfig.getConfig().skipGit) {
+			Util.gitInit(process.cwd(), argv.name);
 		}
 	}
 };
diff --git a/lib/config/defaults.json b/lib/config/defaults.json
index 5135441d8..885b914a5 100644
--- a/lib/config/defaults.json
+++ b/lib/config/defaults.json
@@ -1,4 +1,5 @@
 {
 	"igPackageRegistry": "https://packages.infragistics.com/npm/js-licensed/",
-	"customTemplates": []
+	"customTemplates": [],
+	"skipGit": false
 }
\ No newline at end of file
diff --git a/lib/types/Config.d.ts b/lib/types/Config.d.ts
index e680c9eb1..33c8c425b 100644
--- a/lib/types/Config.d.ts
+++ b/lib/types/Config.d.ts
@@ -39,4 +39,6 @@ declare interface Config {
 	customTemplates: string[];
 	/** Infragistics package registry Url */
 	igPackageRegistry: string;
+	/** Skip git initializion and commit of the new project */
+	skipGit: boolean;
 }
diff --git a/spec/acceptance/new-spec.ts b/spec/acceptance/new-spec.ts
index e832e3c4d..36d9e1f66 100644
--- a/spec/acceptance/new-spec.ts
+++ b/spec/acceptance/new-spec.ts
@@ -67,7 +67,7 @@ describe("New command", () => {
 		done();
 	});
 
-	it("Skip Git", async done => {
+	it("Skip Git with command option", async done => {
 		const projectName = "angularProj";
 		await cli.run(["new", projectName, "--framework=angular", "--type=igx-ts", "--skip-git"]);
 
diff --git a/spec/unit/new-spec.ts b/spec/unit/new-spec.ts
index 01cb0bec1..b552d0997 100644
--- a/spec/unit/new-spec.ts
+++ b/spec/unit/new-spec.ts
@@ -234,19 +234,19 @@ describe("Unit - New command", () => {
 		});
 		spyOn(mockTemplate, "generateFiles");
 
-		await newCmd.execute({ name: projectName, framework: "jq", type: "type", theme: "ig" });
+		await newCmd.execute({ name: projectName, framework: "jq" });
 
 		expect(Util.exec).toHaveBeenCalledWith("git init", jasmine.any(Object));
 		expect(Util.exec).toHaveBeenCalledWith("git add .", jasmine.any(Object));
 		expect(Util.exec).toHaveBeenCalledWith("git commit -m " + "\"Initial commit for project: " + projectName + "\"",
 			jasmine.any(Object));
 		expect(Util.log).toHaveBeenCalledWith(
-			jasmine.stringMatching("Git Initialized and Project '" + projectName + "' committed")
+			jasmine.stringMatching("Git Initialized and Project '" + projectName + "' Committed")
 		);
 		done();
 	});
 
-	it("Skip Git initialization", async done => {
+	it("Skip Git initialization with command option", async done => {
 		const projectName = "projTitle";
 
 		const mockTemplate = {
@@ -266,10 +266,40 @@ describe("Unit - New command", () => {
 			getProjectLibrary: mockProjLib
 		});
 		spyOn(mockTemplate, "generateFiles");
+		spyOn(Util, "gitInit");
 
-		await newCmd.execute({ "name": projectName, "framework": "jq", "type": "type", "theme": "ig", "skip-git": true });
+		await newCmd.execute({ "name": projectName, "framework": "jq", "skip-git": true });
 
-		expect(Util.exec).not.toHaveBeenCalled();
+		expect(Util.gitInit).not.toHaveBeenCalled();
+		done();
+	});
+
+	it("Skip Git initialization with configuration option", async done => {
+		const projectName = "projTitle";
+
+		const mockTemplate = {
+			generateFiles: async (cwd: string, name: string, theme: string) => {
+				return true;
+			}
+		};
+		const mockProjLib = {
+			getProject: () => {
+				return mockTemplate;
+			},
+			projectType: "type",
+			themes: ["ig"]
+		};
+		newCmd.template = jasmine.createSpyObj("TemplateManager", {
+			getFrameworkById: {},
+			getProjectLibrary: mockProjLib
+		});
+		spyOn(mockTemplate, "generateFiles");
+		spyOn(ProjectConfig, "getConfig").and.returnValue({ skipGit: true });
+		spyOn(Util, "gitInit");
+
+		await newCmd.execute({ name: projectName, framework: "jq" });
+
+		expect(Util.gitInit).not.toHaveBeenCalled();
 		done();
 	});
 });