diff --git a/crates/worktree/src/ignore.rs b/crates/worktree/src/ignore.rs
index 5b0b3da52f..b1f801afd4 100644
--- a/crates/worktree/src/ignore.rs
+++ b/crates/worktree/src/ignore.rs
@@ -85,12 +85,14 @@ impl IgnoreStack {
             IgnoreStackEntry::Global { ignore } => {
                 let combined_path;
                 let abs_path = if let Some(repo_root) = self.repo_root.as_ref() {
-                    if let Ok(relative_path) = abs_path.strip_prefix(repo_root) {
-                        combined_path = ignore.path().join(relative_path);
-                        &combined_path
-                    } else {
-                        abs_path
-                    }
+                    let Ok(relative_path) = abs_path.strip_prefix(repo_root) else {
+                        // The provided absolute path is outside of the repository's folderabs_path is outside repo_root and cannot be ignored
+                        // by this global ignore
+                        return false;
+                    };
+
+                    combined_path = ignore.path().join(relative_path);
+                    &combined_path
                 } else {
                     abs_path
                 };
diff --git a/crates/worktree/tests/integration/worktree_tests.rs b/crates/worktree/tests/integration/worktree_tests.rs
index 2ef74669b2..dcd303e5fd 100644
--- a/crates/worktree/tests/integration/worktree_tests.rs
+++ b/crates/worktree/tests/integration/worktree_tests.rs
@@ -3621,34 +3621,37 @@ async fn test_global_gitignore(executor: BackgroundExecutor, cx: &mut TestAppCon
     init_test(cx);
 
     let home = paths::home_dir();
+    let project_path = home.join("example.com").join("project");
     let fs = FakeFs::new(executor);
     fs.insert_tree(
         home,
         json!({
             ".config": {
                 "git": {
-                    "ignore": "foo\n/bar\nbaz\n"
+                    "ignore": "foo\n/bar\nbaz\n*.com\n"
                 }
             },
-            "project": {
-                ".git": {},
-                ".gitignore": "!baz",
-                "foo": "",
-                "bar": "",
-                "sub": {
-                    "bar": "",
-                },
-                "subrepo": {
+            "example.com": {
+                "project": {
                     ".git": {},
-                    "bar": ""
-                },
-                "baz": ""
+                    ".gitignore": "!baz",
+                    "foo": "",
+                    "bar": "",
+                    "sub": {
+                        "bar": "",
+                    },
+                    "subrepo": {
+                        ".git": {},
+                        "bar": ""
+                    },
+                    "baz": ""
+                }
             }
         }),
     )
     .await;
     let worktree = Worktree::local(
-        home.join("project"),
+        project_path.clone(),
         true,
         fs.clone(),
         Arc::default(),
@@ -3681,7 +3684,7 @@ async fn test_global_gitignore(executor: BackgroundExecutor, cx: &mut TestAppCon
     // Ignore statuses are updated when excludesFile changes
     fs.write(
         &home.join(".config").join("git").join("ignore"),
-        "/bar\nbaz\n".as_bytes(),
+        "/bar\nbaz\n*.com\n".as_bytes(),
     )
     .await
     .unwrap();
@@ -3705,7 +3708,7 @@ async fn test_global_gitignore(executor: BackgroundExecutor, cx: &mut TestAppCon
 
     // Statuses are updated when .git added/removed
     fs.remove_dir(
-        &home.join("project").join("subrepo").join(".git"),
+        &project_path.join("subrepo").join(".git"),
         RemoveOptions {
             recursive: true,
             ..Default::default()