Remote-Containers VS Code extension doesn't recognize a git repository

I have a repository on an AWS instance. I can connect to the instance with VS Code via ssh and open the repository remotely. There is a dev container image on that instance that I use to run the code from a shell. I would like VS Code on my local machine to remotely open my repo on the instance, but inside a container spawned from my dev image. I have set up this .devcontainer.json config file in the repo:

{
    "image": "mmclassification",
  
    "customizations": {
      "vscode": {
        "extensions": ["dbaeumer.vscode-eslint"]
      }
    },
    "forwardPorts": [3000]
}

It seems to work fine. Before Remote-Containers, my Python extension couldn't follow imports etc. and now that works. However, git integration inside VS Code stopped working. Files don't get highlighted as modified anymore, and when I open the source control tab in VS Code, it says that it's not a git repository:

While the .git folder does indeed exist, it's like VS Code can't read it.

Using only Remote-SSH to open the folder (i.e. not inside a container) does have working git integration (but Python integration is problematic because it's not opened in the dev environment).

What's the problem?

Here's a similar question: Git repository not detected inside a container created by VS Code Remote Container extension

However, the user there seems to have problems because of a worktree directive in his .git/config, which I don't have.

The solution is:

git config --global --add safe.directory <path/to/repo>

This was suggested by git after I ran git status from inside a VS Code console.