Hello zasin,
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Yes, you can configure ACLs for an SFTP local account down to the container and sub-folder level using Azure CLI, Azure PowerShell or via Azure Portal and you can configure based on your required method.
If you are referring to containers, you need to use ADLS Gen2 for more granular access. Access control lists (ACLs): ACLs give you the ability to apply "finer grain" level of access to directories and files. An ACL is a permission construct that contains a series of ACL entries. Each ACL entry associates security principal with an access level. To learn more, see Access control lists (ACLs) in Azure Data Lake Storage Gen2.
Also refer - https://learn.microsoft.com/en-us/azure/storage/blobs/secure-file-transfer-protocol-support, https://learn.microsoft.com/en-us/azure/storage/blobs/secure-file-transfer-protocol-support-authorize-access?tabs=azure-cli.
If you are referring to Azure File shares, please see: Configure directory and file level permissions over SMB: After you assign share-level permissions, you must first connect to the Azure file share using the storage account key and then configure Windows access control lists (ACLs), also known as NTFS permissions, at the root, directory, or file level. While share-level permissions act as a high-level gatekeeper that determines whether a user can access the share, Windows ACLs operate at a more granular level to control what operations the user can do at the directory or file level.
Similar thread for reference - https://learn.microsoft.com/en-us/answers/questions/1290110/setting-up-sftp-with-windows-vm-azure-file-share?source=docs
Hope this answer helps! please let us know if you have any further queries. I’m happy to assist you further.
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