diff --git a/pkgs/applications/editors/vscode/extensions/default.nix b/pkgs/applications/editors/vscode/extensions/default.nix
index 3da59fdb6de5..16720b4de846 100644
--- a/pkgs/applications/editors/vscode/extensions/default.nix
+++ b/pkgs/applications/editors/vscode/extensions/default.nix
@@ -2376,8 +2376,8 @@ let
         mktplcRef = {
           name = "direnv";
           publisher = "mkhl";
-          version = "0.15.2";
-          sha256 = "06lp4qgnksklgc6nvx1l9z38y7apbx0a6v886nd15aq9rq8my0ka";
+          version = "0.16.0";
+          sha256 = "sha256-u2AFjvhm3zio1ygW9yD9ZwbywLrEssd0O7/0AtfCvMo=";
         };
 
         meta = {