Visual Studio Code Failed to find dotnet from path with "which dotnet"

[avatar-lavventura]

I have installed dotnet sdk inside MacBook and in my terminal dotnet --info returns valid information.

But inside Visual Studio Code, I am getting following error message, when I try to run the project:

Failed to find dotnet from path with "which dotnet".
Cannot find .NET SDK installation from PATH environment. C# DevKit extension would not work without a proper installation of the .NET SDK accessible through PATH environment. Rebooting might be necessary in some cases. Check the PATH environment logged in the C# DevKit logging window. In some cases, it could be affected how VS code was started.
PATH=/usr/bin:/bin:/usr/sbin:/sbin

How can I fix this error? Note that vscode tries to read PATH from /bin/sh rather than /bin/bash.

[dibarbet]

Looks like the issue is on the devkit side, moving to microsoft/vscode-dotnettools#1565