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Developing Logic Apps workflows in Visual Studio Code

Christopher Fryett 195 Reputation points
2026-02-13T18:59:14.4233333+00:00

I have been developing Logic Apps workflows which incorporates Key Vault, Database, Outlook, and so forth which some of the connectors are using managed identities. In the Azure Portal Designer all works perfectly fine, but when using Visual Studio Code managed identities is a problem. This is a known issue and documented, so the question is how many are truly developing in Visual Studio Code and how is the flows which need certain connectors like Key Vault or Database are handled. I don't see how this works without jumping through vast hoops that would impact the "day of the developer's life" to the point Logic Apps is not viable. If a developer can't easily develop in Visual Studio Code in order to comply with CI/CD then they are likely to find alternatives.

Azure Logic Apps
Azure Logic Apps

An Azure service that automates the access and use of data across clouds without writing code.


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  1. kagiyama yutaka 3,415 Reputation points
    2026-02-13T20:52:32.4133333+00:00

    Most devs i’ve worked with don’t fight mi in vscode at all. the local runtime just can’t replay those chained auth hops the portal hides. we shape the flow with light stubs, then let a tiny sandbox run the real mi path so ci/cd stays clean and no one loses a whole day to tooling.

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  2. Christopher Fryett 195 Reputation points
    2026-02-13T20:35:19.6233333+00:00

    We are configured with multiple subscriptions dedicated to development, QA, and production environments. I have an alternative solution, which—while not ideal, as it may inconvenience developers—is less intrusive and still maintains all required security policies. It will also support the existing CI/CD pipeline.

    Proposed high level alternative:

    1. Each developer will work within their own Logic Apps resource.
    2. Developers will create a GitHub feature branch from the dev branch.
    3. When a developer is ready to submit a pull request, they will copy their workflow code and any associated dependencies into their branch.
    4. After the pull request is merged into the dev branch, the CI/CD process will automatically deploy the updated workflows to the development Logic Apps resource. This allows multiple developers to test their work together when needed.
    5. Once the changes are confirmed to be ready for QA, a pull request will be created to merge dev into QA.

    It would be nice if Microsoft followed similar products like Mulesoft AnyPoint, Software AG webMethods, and others which are more developer friendly. Using Logic Apps seems to require many hoops and even the CI/CD is unnecessarily complex in my opinion.

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  3. Siddhesh Desai 7,065 Reputation points Microsoft External Staff Moderator
    2026-02-13T19:34:40.74+00:00

    Hi @Christopher Fryett

    Thank you for reaching out to Microsoft Q&A.

    Managed Identities will only work via Azure resource as it is a system assigned or user assigned identity.

    For local development using Visual Studio Code, You can use your Azure user account to for authenticating with the connector and add your user account in Key vault access policy or Provide Key vault administrator rbac roles, For database you can use Connection string or Microsoft Entra MFA login locally.

    You can create separate workflow for local development and managed identity workflow for Prod related Azure development and parameterize it to change.

    You can test your development in another logic app in another subscription as well that is your rnd or nonprod subscription or Logic app and then push the changes to the Prod Logic app.

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