diff --git a/package.json b/package.json
index 43736a65c2a5..561979c6da4c 100644
--- a/package.json
+++ b/package.json
@@ -1583,6 +1583,13 @@
                 "inputSchema": {
                     "type": "object",
                     "properties": {
+                        "packageList": {
+                            "type": "array",
+                            "items": {
+                                "type": "string"
+                            },
+                            "description": "The list of packages to install."
+                        },
                         "resourcePath": {
                             "type": "string",
                             "description": "The path to the Python file or workspace for which a Python Environment needs to be configured."
diff --git a/src/client/chat/createVirtualEnvTool.ts b/src/client/chat/createVirtualEnvTool.ts
index b27845a0ec2f..04d9b2191c6a 100644
--- a/src/client/chat/createVirtualEnvTool.ts
+++ b/src/client/chat/createVirtualEnvTool.ts
@@ -40,7 +40,11 @@ import { createVirtualEnvironment } from '../pythonEnvironments/creation/createE
 import { traceError, traceVerbose, traceWarn } from '../logging';
 import { StopWatch } from '../common/utils/stopWatch';
 
-export class CreateVirtualEnvTool implements LanguageModelTool<IResourceReference> {
+interface ICreateVirtualEnvToolParams extends IResourceReference {
+    packageList: string[]; // Added only becausewe have ability to create a virtual env with list of packages same tool within the in Python Env extension.
+}
+
+export class CreateVirtualEnvTool implements LanguageModelTool<ICreateVirtualEnvToolParams> {
     private readonly terminalExecutionService: TerminalCodeExecutionProvider;
     private readonly terminalHelper: ITerminalHelper;
     private readonly recommendedEnvService: IRecommendedEnvironmentService;