Change connection string in below format, it should be work from VS Code
"outlook": {
"api": {
"id": "/subscriptions/7b71************b62b95****316a7/providers/Microsoft.Web/locations/centralus/managedApis/outlook"
},
"authentication": {
"type": "ManagedServiceIdentity"
},
"connection": {
"id": "/subscriptions/7b7*******************16a7/resourceGroups/RG-AIS-lapp/providers/Microsoft.Web/connections/outlook"
},
"connectionRuntimeUrl": "https://******e67.10.common.logic-centralus.azure-apihub.net/apim/outlook/ed41e635e******6729c8/",
}