Automatically activating specific VS Code extensions for a particular folder

Question

I'm looking for a way to ensure that only certain extensions are activated when Visual Studio Code is opened from a specific folder. My goals are:

1. Minimize bloat and improve performance
2. Ensure consistency across team members and future usage
3. Keep the codebase portable and reusable

I've considered a few options:

• Profiles: Seems promising for managing extension sets
• Local configurations: Possibly using a JSON file in the project folder
• Workspaces: Not familiar with this, but it might be relevant

Ideally, I want a solution where:

• Opening the folder automatically loads the correct profile or configuration
• Only specified extensions are enabled; all others are disabled
• Settings are stored locally with the project
• It's easy for colleagues to adopt the same setup

Is there a recommended approach to achieve this? How can I set up VS Code to automatically use a specific configuration when opening a particular folder?