diff --git a/package.json b/package.json
index aca14f9..b6c0bd9 100644
--- a/package.json
+++ b/package.json
@@ -576,8 +576,8 @@
               },
               "cwd": {
                 "type": "string",
-                "description": "Workspace relative or absolute path to the working directory of the program being debugged. Default is the current workspace.",
-                "default": "."
+                "description": "Workspace relative or absolute path to the working directory of the program being debugged if a non-empty value is specified. The 'program' folder is used as the working directory if it is omitted or empty.",
+                "default": ""
               },
               "env": {
                 "type": "object",
diff --git a/src/goDebugConfiguration.ts b/src/goDebugConfiguration.ts
index 76759dc..e86819b 100644
--- a/src/goDebugConfiguration.ts
+++ b/src/goDebugConfiguration.ts
@@ -23,7 +23,7 @@
 import { getTool, getToolAtVersion } from './goTools';
 import { pickProcess, pickProcessByName } from './pickProcess';
 import { getFromGlobalState, updateGlobalState } from './stateUtils';
-import { getBinPath, getGoVersion } from './util';
+import { getBinPath, getGoVersion, getWorkspaceFolderPath, resolvePath } from './util';
 import { parseEnvFiles } from './utils/envUtils';
 import { resolveHomeDir } from './utils/pathUtils';
 
@@ -389,6 +389,22 @@
 		debugConfiguration['env'] = Object.assign(goToolsEnvVars, fileEnvs, env);
 		debugConfiguration['envFile'] = undefined; // unset, since we already processed.
 
+		const entriesWithRelativePaths = ['cwd', 'output', 'program'].filter(
+			(attr) => debugConfiguration[attr] && !path.isAbsolute(debugConfiguration[attr])
+		);
+		if (debugConfiguration['debugAdapter'] === 'dlv-dap' && entriesWithRelativePaths.length > 0) {
+			const workspaceRoot = folder?.uri.fsPath;
+			if (!workspaceRoot) {
+				this.showWarning(
+					'relativePathsWithoutWorkspaceFolder',
+					'Relative paths without a workspace folder for `cwd`, `program`, or `output` are not allowed.'
+				);
+				return null;
+			}
+			entriesWithRelativePaths.forEach((attr) => {
+				debugConfiguration[attr] = path.join(workspaceRoot, debugConfiguration[attr]);
+			});
+		}
 		return debugConfiguration;
 	}
 
diff --git a/src/goDebugFactory.ts b/src/goDebugFactory.ts
index e019f26..a247e30 100644
--- a/src/goDebugFactory.ts
+++ b/src/goDebugFactory.ts
@@ -412,10 +412,10 @@
 
 	logConsole(`Starting: ${dlvPath} ${dlvArgs.join(' ')}\n`);
 
-	// TODO(hyangah): determine the directories:
-	//    run `dlv` => where dlv will create the default __debug_bin. (This won't work if the directory is not writable. Fix it)
-	//    build program => 'program' directory. (This won't work for multimodule workspace. Fix it)
-	//    run program => cwd (If test, make sure to run in the package directory.)
+	// TODO(hyangah): In module-module workspace mode, the program should be build in the super module directory
+	// where go.work (gopls.mod) file is present. Where dlv runs determines the build directory currently. Two options:
+	//  1) launch dlv in the super-module module directory and adjust launchArgs.cwd (--wd).
+	//  2) introduce a new buildDir launch attribute.
 	return new Promise<ChildProcess>((resolve, reject) => {
 		const p = spawn(dlvPath, dlvArgs, {
 			cwd: dir,
diff --git a/test/integration/goDebugConfiguration.test.ts b/test/integration/goDebugConfiguration.test.ts
index 515559a..8199bbd 100644
--- a/test/integration/goDebugConfiguration.test.ts
+++ b/test/integration/goDebugConfiguration.test.ts
@@ -439,6 +439,112 @@
 	});
 });
 
+suite('Debug Configuration Converts Relative Paths', () => {
+	const debugConfigProvider = new GoDebugConfigurationProvider();
+
+	function debugConfig(adapter: string) {
+		return {
+			name: 'Launch',
+			type: 'go',
+			request: 'launch',
+			mode: 'auto',
+			debugAdapter: adapter,
+			program: path.join('foo', 'bar.go'),
+			cwd: '.',
+			output: 'debug'
+		};
+	}
+
+	test('resolve relative paths with workspace root in dlv-dap mode', () => {
+		const config = debugConfig('dlv-dap');
+		const workspaceFolder = {
+			uri: vscode.Uri.file(os.tmpdir()),
+			name: 'test',
+			index: 0
+		};
+		const { program, cwd, output } = debugConfigProvider.resolveDebugConfigurationWithSubstitutedVariables(
+			workspaceFolder,
+			config
+		);
+		assert.deepStrictEqual(
+			{ program, cwd, output },
+			{
+				program: path.join(os.tmpdir(), 'foo/bar.go'),
+				cwd: os.tmpdir(),
+				output: path.join(os.tmpdir(), 'debug')
+			}
+		);
+	});
+
+	test('empty, undefined paths are not affected', () => {
+		const config = debugConfig('dlv-dap');
+		config.program = undefined;
+		config.cwd = '';
+		delete config.output;
+
+		const workspaceFolder = {
+			uri: vscode.Uri.file(os.tmpdir()),
+			name: 'test',
+			index: 0
+		};
+		const { program, cwd, output } = debugConfigProvider.resolveDebugConfigurationWithSubstitutedVariables(
+			workspaceFolder,
+			config
+		);
+		assert.deepStrictEqual(
+			{ program, cwd, output },
+			{
+				program: undefined,
+				cwd: '',
+				output: undefined
+			}
+		);
+	});
+
+	test('disallow relative paths with no workspace root', () => {
+		const config = debugConfig('dlv-dap');
+		const got = debugConfigProvider.resolveDebugConfigurationWithSubstitutedVariables(undefined, config);
+		assert.strictEqual(got, null);
+	});
+
+	test('do not affect relative paths (workspace) in legacy mode', () => {
+		const config = debugConfig('legacy');
+		const workspaceFolder = {
+			uri: vscode.Uri.file(os.tmpdir()),
+			name: 'test',
+			index: 0
+		};
+		const { program, cwd, output } = debugConfigProvider.resolveDebugConfigurationWithSubstitutedVariables(
+			workspaceFolder,
+			config
+		);
+		assert.deepStrictEqual(
+			{ program, cwd, output },
+			{
+				program: path.join('foo', 'bar.go'),
+				cwd: '.',
+				output: 'debug'
+			}
+		);
+	});
+
+	test('do not affect relative paths (no workspace) in legacy mode', () => {
+		const config = debugConfig('legacy');
+		const { program, cwd, output } = debugConfigProvider.resolveDebugConfigurationWithSubstitutedVariables(
+			undefined,
+			config
+		);
+		assert.deepStrictEqual(
+			{ program, cwd, output },
+			{
+				program: path.join('foo', 'bar.go'),
+				cwd: '.',
+				output: 'debug'
+			}
+		);
+	});
+});
+
 suite('Debug Configuration Auto Mode', () => {
 	const debugConfigProvider = new GoDebugConfigurationProvider();
 	test('resolve auto to debug with non-test file', () => {