diff --git a/CHANGELOG.md b/CHANGELOG.md
index f1665de23..c5816fe0f 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -2,6 +2,10 @@
 
 ## 1.17
 
+Features:
+
+- Update `api.ts` to add the `getActiveFolderPath` method. [#3528](https://github.com/microsoft/vscode-cmake-tools/pull/3528) [@Kemaweyan](https://github.com/Kemaweyan)
+
 Improvements:
 
 - Improve when the "Configure with Debugger" popup appears and allow for "Do Not Show Again". [#3343](https://github.com/microsoft/vscode-cmake-tools/issues/3343)
diff --git a/package.json b/package.json
index 039deb566..9cccfbdb5 100644
--- a/package.json
+++ b/package.json
@@ -3045,7 +3045,7 @@
     "tslint": "^6.1.3",
     "typescript": "^4.1.5",
     "vsce": "^2.7.0",
-    "vscode-cmake-tools": "^1.0.0",
+    "vscode-cmake-tools": "^1.1.0",
     "vscode-nls-dev": "^3.3.2",
     "webpack": "^5.76.0",
     "webpack-cli": "^4.5.0"
diff --git a/src/api.ts b/src/api.ts
index 3d7579e65..d5da6d0cf 100644
--- a/src/api.ts
+++ b/src/api.ts
@@ -12,7 +12,7 @@ import { assertNever } from '@cmt/util';
 export class CMakeToolsApiImpl implements api.CMakeToolsApi {
     constructor(private readonly manager: ExtensionManager) {}
 
-    version: api.Version = api.Version.v1;
+    version: api.Version = api.Version.v2;
 
     showUIElement(element: api.UIElement): Promise<void> {
         return this.setUIElementVisibility(element, true);
@@ -39,6 +39,10 @@ export class CMakeToolsApiImpl implements api.CMakeToolsApi {
         return project ? new CMakeProjectWrapper(project) : undefined;
     }
 
+    getActiveFolderPath(): string {
+        return this.manager.activeFolderPath();
+    }
+
     private async setUIElementVisibility(element: api.UIElement, visible: boolean): Promise<void> {
         switch (element) {
             case api.UIElement.StatusBarDebugButton:
diff --git a/src/extension.ts b/src/extension.ts
index d2ae776aa..93b0f9966 100644
--- a/src/extension.ts
+++ b/src/extension.ts
@@ -1967,7 +1967,14 @@ async function setup(context: vscode.ExtensionContext, progress?: ProgressHandle
         vscode.commands.registerCommand('cmake.statusbar.update', () => extensionManager?.updateStatusBarForActiveProjectChange())
     ]);
 
-    return { getApi: (_version) => ext.api };
+    return { getApi: (version: api.Version) => {
+        // Since our API is backwards compatible, we can make our version number match that which was requested.
+        if (version === api.Version.v1 || version === api.Version.v2) {
+            ext.api.version = version;
+        }
+        return ext.api;
+    }
+    };
 }
 
 class SchemaProvider implements vscode.TextDocumentContentProvider {
diff --git a/yarn.lock b/yarn.lock
index 9e8701ff1..a0bf48a23 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -6589,10 +6589,10 @@ vsce@^2.7.0:
     yauzl "^2.3.1"
     yazl "^2.2.2"
 
-vscode-cmake-tools@^1.0.0:
-  version "1.0.0"
-  resolved "https://registry.yarnpkg.com/vscode-cmake-tools/-/vscode-cmake-tools-1.0.0.tgz#0321a74cd073c858c440b01602e164ecb824bd98"
-  integrity sha512-oZO+Ulo+OGaFuGQaPlNh+qDUWth0kmyz0d45Ws6KmqLGf1Q9gCOBct6jz7mAtzR/IqrCe/VV3O/CUmHfXpIZEA==
+vscode-cmake-tools@^1.1.0:
+  version "1.1.0"
+  resolved "https://registry.yarnpkg.com/vscode-cmake-tools/-/vscode-cmake-tools-1.1.0.tgz#415da0e18e7dc08500a0e748708290efdbb19485"
+  integrity sha512-LVOSGrY2aHZBYg0t8mbcAtoYLR+xP4FaXiUx2lNmpK6bs+mK7FA15LgGrjUvgOo34UL5av3ZuAsJ7SROKUDGug==
 
 vscode-cpptools@^6.1.0:
   version "6.1.0"