diff --git a/src/cascadia/TerminalApp/AppActionHandlers.cpp b/src/cascadia/TerminalApp/AppActionHandlers.cpp
index 3b33f8b5897..cad581983f3 100644
--- a/src/cascadia/TerminalApp/AppActionHandlers.cpp
+++ b/src/cascadia/TerminalApp/AppActionHandlers.cpp
@@ -1021,6 +1021,16 @@ namespace winrt::TerminalApp::implementation
         args.Handled(true);
     }
 
+    void TerminalPage::_HandleDisplayWorkingDirectory(const IInspectable& /*sender*/,
+                                                      const ActionEventArgs& args)
+    {
+        if (_settings.GlobalSettings().DebugFeaturesEnabled())
+        {
+            ShowTerminalWorkingDirectory();
+            args.Handled(true);
+        }
+    }
+
     void TerminalPage::_HandleSearchForText(const IInspectable& /*sender*/,
                                             const ActionEventArgs& args)
     {
diff --git a/src/cascadia/TerminalApp/TerminalPage.cpp b/src/cascadia/TerminalApp/TerminalPage.cpp
index b38a0d82daa..15bc81c4004 100644
--- a/src/cascadia/TerminalApp/TerminalPage.cpp
+++ b/src/cascadia/TerminalApp/TerminalPage.cpp
@@ -4105,6 +4105,33 @@ namespace winrt::TerminalApp::implementation
         }
     }
 
+    winrt::fire_and_forget TerminalPage::ShowTerminalWorkingDirectory()
+    {
+        auto weakThis{ get_weak() };
+        co_await wil::resume_foreground(Dispatcher());
+        if (auto page{ weakThis.get() })
+        {
+            // If we haven't ever loaded the TeachingTip, then do so now and
+            // create the toast for it.
+            if (page->_windowCwdToast == nullptr)
+            {
+                if (auto tip{ page->FindName(L"WindowCwdToast").try_as<MUX::Controls::TeachingTip>() })
+                {
+                    page->_windowCwdToast = std::make_shared<Toast>(tip);
+                    // Make sure to use the weak ref when setting up this
+                    // callback.
+                    tip.Closed({ page->get_weak(), &TerminalPage::_FocusActiveControl });
+                }
+            }
+            _UpdateTeachingTipTheme(WindowCwdToast().try_as<winrt::Windows::UI::Xaml::FrameworkElement>());
+
+            if (page->_windowCwdToast != nullptr)
+            {
+                page->_windowCwdToast->Open();
+            }
+        }
+    }
+
     // Method Description:
     // - Called when the user hits the "Ok" button on the WindowRenamer TeachingTip.
     // - Will raise an event that will bubble up to the monarch, asking if this
diff --git a/src/cascadia/TerminalApp/TerminalPage.h b/src/cascadia/TerminalApp/TerminalPage.h
index bde39cca453..095647b17b2 100644
--- a/src/cascadia/TerminalApp/TerminalPage.h
+++ b/src/cascadia/TerminalApp/TerminalPage.h
@@ -147,6 +147,7 @@ namespace winrt::TerminalApp::implementation
 
         winrt::fire_and_forget IdentifyWindow();
         winrt::fire_and_forget RenameFailed();
+        winrt::fire_and_forget ShowTerminalWorkingDirectory();
 
         winrt::fire_and_forget ProcessStartupActions(Windows::Foundation::Collections::IVector<Microsoft::Terminal::Settings::Model::ActionAndArgs> actions,
                                                      const bool initial,
@@ -256,6 +257,7 @@ namespace winrt::TerminalApp::implementation
 
         std::shared_ptr<Toast> _windowIdToast{ nullptr };
         std::shared_ptr<Toast> _windowRenameFailedToast{ nullptr };
+        std::shared_ptr<Toast> _windowCwdToast{ nullptr };
 
         winrt::Windows::UI::Xaml::Controls::TextBox::LayoutUpdated_revoker _renamerLayoutUpdatedRevoker;
         int _renamerLayoutCount{ 0 };
diff --git a/src/cascadia/TerminalApp/TerminalPage.xaml b/src/cascadia/TerminalApp/TerminalPage.xaml
index ade311fcde7..00fb12f86b4 100644
--- a/src/cascadia/TerminalApp/TerminalPage.xaml
+++ b/src/cascadia/TerminalApp/TerminalPage.xaml
@@ -205,5 +205,11 @@
                          Text="{x:Bind WindowProperties.WindowName, Mode=OneWay}" />
             </mux:TeachingTip.Content>
         </mux:TeachingTip>
+
+        <mux:TeachingTip x:Name="WindowCwdToast"
+                         x:Uid="WindowCwdToast"
+                         Title="{x:Bind WindowProperties.VirtualWorkingDirectory, Mode=OneWay}"
+                         x:Load="False"
+                         IsLightDismissEnabled="True" />
     </Grid>
 </Page>
diff --git a/src/cascadia/TerminalSettingsModel/ActionAndArgs.cpp b/src/cascadia/TerminalSettingsModel/ActionAndArgs.cpp
index 757b440c82c..7c9802c07cb 100644
--- a/src/cascadia/TerminalSettingsModel/ActionAndArgs.cpp
+++ b/src/cascadia/TerminalSettingsModel/ActionAndArgs.cpp
@@ -72,6 +72,7 @@ static constexpr std::string_view IdentifyWindowKey{ "identifyWindow" };
 static constexpr std::string_view IdentifyWindowsKey{ "identifyWindows" };
 static constexpr std::string_view RenameWindowKey{ "renameWindow" };
 static constexpr std::string_view OpenWindowRenamerKey{ "openWindowRenamer" };
+static constexpr std::string_view DisplayWorkingDirectoryKey{ "debugTerminalCwd" };
 static constexpr std::string_view SearchForTextKey{ "searchWeb" };
 static constexpr std::string_view GlobalSummonKey{ "globalSummon" };
 static constexpr std::string_view QuakeModeKey{ "quakeMode" };
@@ -404,6 +405,7 @@ namespace winrt::Microsoft::Terminal::Settings::Model::implementation
                 { ShortcutAction::IdentifyWindows, RS_(L"IdentifyWindowsCommandKey") },
                 { ShortcutAction::RenameWindow, RS_(L"ResetWindowNameCommandKey") },
                 { ShortcutAction::OpenWindowRenamer, RS_(L"OpenWindowRenamerCommandKey") },
+                { ShortcutAction::DisplayWorkingDirectory, RS_(L"DisplayWorkingDirectoryCommandKey") },
                 { ShortcutAction::GlobalSummon, MustGenerate },
                 { ShortcutAction::SearchForText, MustGenerate },
                 { ShortcutAction::QuakeMode, RS_(L"QuakeModeCommandKey") },
diff --git a/src/cascadia/TerminalSettingsModel/AllShortcutActions.h b/src/cascadia/TerminalSettingsModel/AllShortcutActions.h
index 571c20632a4..53a260f46ea 100644
--- a/src/cascadia/TerminalSettingsModel/AllShortcutActions.h
+++ b/src/cascadia/TerminalSettingsModel/AllShortcutActions.h
@@ -85,6 +85,7 @@
     ON_ALL_ACTIONS(IdentifyWindows)         \
     ON_ALL_ACTIONS(RenameWindow)            \
     ON_ALL_ACTIONS(OpenWindowRenamer)       \
+    ON_ALL_ACTIONS(DisplayWorkingDirectory) \
     ON_ALL_ACTIONS(SearchForText)           \
     ON_ALL_ACTIONS(GlobalSummon)            \
     ON_ALL_ACTIONS(QuakeMode)               \
diff --git a/src/cascadia/TerminalSettingsModel/Resources/en-US/Resources.resw b/src/cascadia/TerminalSettingsModel/Resources/en-US/Resources.resw
index 1cd8b5d51f5..8de5d841734 100644
--- a/src/cascadia/TerminalSettingsModel/Resources/en-US/Resources.resw
+++ b/src/cascadia/TerminalSettingsModel/Resources/en-US/Resources.resw
@@ -511,6 +511,9 @@
   <data name="OpenWindowRenamerCommandKey" xml:space="preserve">
     <value>Rename window...</value>
   </data>
+  <data name="DisplayWorkingDirectoryCommandKey" xml:space="preserve">
+    <value>Display Terminal's current working directory</value>
+  </data>
   <data name="GlobalSummonCommandKey" xml:space="preserve">
     <value>Show/Hide the Terminal window</value>
   </data>