diff --git a/bin/bitbake-setup b/bin/bitbake-setup
index b81d3ad11..4f1cf7ad3 100755
--- a/bin/bitbake-setup
+++ b/bin/bitbake-setup
@@ -387,6 +387,8 @@ def setup_bitbake_build(bitbake_config, layerdir, setupdir, thisdir, update_bb_c
     workspace_file = os.path.join(setupdir, "bitbake.code-workspace")
     shell = "bash"
     fragments = bitbake_config.get("oe-fragments", []) + sorted(bitbake_config.get("oe-fragment-choices",{}).values())
+    # oe-fragments entries can be strings or dicts with 'name'/'description' keys
+    fragments = [f["name"] if isinstance(f, dict) else f for f in fragments]
     if fragments:
         bb.process.run("{} -c '. {} && bitbake-config-build enable-fragment {}'".format(shell, init_script, " ".join(fragments)))