2 files changed, 26 insertions, 6 deletions

diff --git a/packages/core/src/config/config.ts b/packages/core/src/config/config.ts
index 71c4a7d2..dc77208c 100644
--- a/packages/core/src/config/config.ts
+++ b/packages/core/src/config/config.ts
@@ -21,6 +21,7 @@ import { WebFetchTool } from '../tools/web-fetch.js';
 import { ReadManyFilesTool } from '../tools/read-many-files.js';
 import { MemoryTool, setGeminiMdFilename } from '../tools/memoryTool.js';
 import { WebSearchTool } from '../tools/web-search.js';
+import { GEMINI_CONFIG_DIR as GEMINI_DIR } from '../tools/memoryTool.js';
 
 export enum ApprovalMode {
   DEFAULT = 'default',
@@ -204,13 +205,22 @@ export class Config {
 function findEnvFile(startDir: string): string | null {
   let currentDir = path.resolve(startDir);
   while (true) {
+    // prefer gemini-specific .env under GEMINI_DIR
+    const geminiEnvPath = path.join(currentDir, GEMINI_DIR, '.env');
+    if (fs.existsSync(geminiEnvPath)) {
+      return geminiEnvPath;
+    }
     const envPath = path.join(currentDir, '.env');
     if (fs.existsSync(envPath)) {
       return envPath;
     }
     const parentDir = path.dirname(currentDir);
     if (parentDir === currentDir || !parentDir) {
-      // check ~/.env as fallback
+      // check .env under home as fallback, again preferring gemini-specific .env
+      const homeGeminiEnvPath = path.join(os.homedir(), GEMINI_DIR, '.env');
+      if (fs.existsSync(homeGeminiEnvPath)) {
+        return homeGeminiEnvPath;
+      }
       const homeEnvPath = path.join(os.homedir(), '.env');
       if (fs.existsSync(homeEnvPath)) {
         return homeEnvPath;
diff --git a/scripts/sandbox_command.sh b/scripts/sandbox_command.sh
index 7c140c61..325722f5 100755
--- a/scripts/sandbox_command.sh
+++ b/scripts/sandbox_command.sh
@@ -43,21 +43,31 @@ fi
 
 # if GEMINI_SANDBOX is not set, try to source .env in case set there
 # allow .env to be in any ancestor directory (same as findEnvFile in config.ts)
+# prefer gemini-specific .env under .gemini folder (also same as in findEnvFile)
 if [ -z "${GEMINI_SANDBOX:-}" ]; then
     current_dir=$(pwd)
     dot_env_sourced=false
     while [ "$current_dir" != "/" ]; do
-        if [ -f "$current_dir/.env" ]; then
+        if [ -f "$current_dir/.gemini/.env" ]; then
+            source "$current_dir/.gemini/.env"
+            dot_env_sourced=true
+            break
+        elif [ -f "$current_dir/.env" ]; then
             source "$current_dir/.env"
             dot_env_sourced=true
             break
         fi
         current_dir=$(dirname "$current_dir")
     done
-    # if .env is not found in any ancestor directory, try ~/.env as fallback
-    if [ "$dot_env_sourced" = false ] && [ -f "$HOME/.env" ]; then
-        source "$HOME/.env"
-        dot_env_sourced=true
+    # if .env is not found in any ancestor directory, try home as fallback
+    if [ "$dot_env_sourced" = false ]; then
+        if [ -f "$HOME/.gemini/.env" ]; then
+            source "$HOME/.gemini/.env"
+            dot_env_sourced=true
+        elif [ -f "$HOME/.env" ]; then
+            source "$HOME/.env"
+            dot_env_sourced=true
+        fi
     fi
 fi