diff --git a/extensions/git/package.json b/extensions/git/package.json
index befecc5ab71..fc31b690132 100644
--- a/extensions/git/package.json
+++ b/extensions/git/package.json
@@ -1034,11 +1034,11 @@
           "default": 10,
           "description": "%config.detectSubmodulesLimit%"
         },
-        "git.showStagedChangesResourceGroup": {
+        "git.alwaysShowStagedChangesResourceGroup": {
           "type": "boolean",
           "scope": "resource",
           "default": false,
-          "description": "%config.showStagedChangesResourceGroup%"
+          "description": "%config.alwaysShowStagedChangesResourceGroup%"
         },
         "git.alwaysSignOff": {
           "type": "boolean",
diff --git a/extensions/git/package.nls.json b/extensions/git/package.nls.json
index 7ee94d8c0d8..b3991f94b5c 100644
--- a/extensions/git/package.nls.json
+++ b/extensions/git/package.nls.json
@@ -85,7 +85,7 @@
 	"config.detectSubmodules": "Controls whether to automatically detect git submodules.",
 	"colors.added": "Color for added resources.",
 	"config.detectSubmodulesLimit": "Controls the limit of git submodules detected.",
-	"config.showStagedChangesResourceGroup": "Always show the Staged Changes resource group.",
+	"config.alwaysShowStagedChangesResourceGroup": "Always show the Staged Changes resource group.",
 	"config.alwaysSignOff": "Controls the signoff flag for all commits.",
 	"config.ignoredRepositories": "List of git repositories to ignore.",
 	"config.showProgress": "Controls whether git actions should show progress.",
diff --git a/extensions/git/src/repository.ts b/extensions/git/src/repository.ts
index c2a5349ff2a..3e9134d5984 100644
--- a/extensions/git/src/repository.ts
+++ b/extensions/git/src/repository.ts
@@ -589,7 +589,8 @@ export class Repository implements Disposable {
 		const onRelevantGitChange = filterEvent(onRelevantRepositoryChange, uri => /\/\.git\//.test(uri.path));
 		onRelevantGitChange(this._onDidChangeRepository.fire, this._onDidChangeRepository, this.disposables);
 
-		this._sourceControl = scm.createSourceControl('git', 'Git', Uri.file(repository.root));
+		const root = Uri.file(repository.root);
+		this._sourceControl = scm.createSourceControl('git', 'Git', root);
 		this._sourceControl.inputBox.placeholder = localize('commitMessage', "Message (press {0} to commit)");
 		this._sourceControl.acceptInputCommand = { command: 'git.commitWithInput', title: localize('commit', "Commit"), arguments: [this._sourceControl] };
 		this._sourceControl.quickDiffProvider = this;
@@ -600,9 +601,14 @@ export class Repository implements Disposable {
 		this._indexGroup = this._sourceControl.createResourceGroup('index', localize('staged changes', "Staged Changes"));
 		this._workingTreeGroup = this._sourceControl.createResourceGroup('workingTree', localize('changes', "Changes"));
 
-		const onConfigListener = filterEvent(workspace.onDidChangeConfiguration, e => e.affectsConfiguration('git.showStagedChangesResourceGroup'));
-		onConfigListener(this.showStagedChangesResourceGroup, this, this.disposables);
-		this.showStagedChangesResourceGroup();
+		const updateIndexGroupVisibility = () => {
+			const config = workspace.getConfiguration('git', root);
+			this.indexGroup.hideWhenEmpty = !config.get<boolean>('alwaysShowStagedChangesResourceGroup');
+		};
+
+		const onConfigListener = filterEvent(workspace.onDidChangeConfiguration, e => e.affectsConfiguration('git.alwaysShowStagedChangesResourceGroup', root));
+		onConfigListener(updateIndexGroupVisibility, this, this.disposables);
+		updateIndexGroupVisibility();
 
 		this.mergeGroup.hideWhenEmpty = true;
 
@@ -715,12 +721,6 @@ export class Repository implements Disposable {
 		return this.run(Operation.Config, () => this.repository.config('local', key, value));
 	}
 
-	private showStagedChangesResourceGroup(): void {
-		const config = workspace.getConfiguration('git');
-		const gitShowStagedChangesResourceGroup = config.get<string>('showStagedChangesResourceGroup');
-		this.indexGroup.hideWhenEmpty = !gitShowStagedChangesResourceGroup;
-	}
-
 	@throttle
 	async status(): Promise<void> {
 		await this.run(Operation.Status);