diff --git a/src/lib/components/layout/Sidebar/Folders/FolderMenu.svelte b/src/lib/components/layout/Sidebar/Folders/FolderMenu.svelte
index f94a32a7c1..f465a26572 100644
--- a/src/lib/components/layout/Sidebar/Folders/FolderMenu.svelte
+++ b/src/lib/components/layout/Sidebar/Folders/FolderMenu.svelte
@@ -16,6 +16,7 @@
 	import CheckIcon from '$lib/components/icons/Check.svelte';
 
 	export let align: 'start' | 'end' = 'start';
+	export let onNewChat = () => {};
 	export let onEdit = () => {};
 	export let onExport = () => {};
 	export let onDelete = () => {};
@@ -48,6 +49,14 @@
 
 	<div slot="content">
 		<DropdownMenu className="min-w-[10.625rem]">
+			<button
+				class="flex h-[1.6875rem] w-full items-center gap-2 rounded-xl px-2 text-[0.8125rem] select-none cursor-pointer hover:bg-gray-100 dark:hover:bg-gray-900"
+				on:click={onNewChat}
+			>
+				<EditPencil className="size-3.5" />
+				<div class="flex items-center">{$i18n.t('New Chat')}</div>
+			</button>
+
 			<button
 				class="flex h-[1.6875rem] w-full items-center gap-2 rounded-xl px-2 text-[0.8125rem] select-none cursor-pointer hover:bg-gray-100 dark:hover:bg-gray-900"
 				on:click={() => {
diff --git a/src/lib/components/layout/Sidebar/RecursiveFolder.svelte b/src/lib/components/layout/Sidebar/RecursiveFolder.svelte
index 5695c8586b..3ed076c0e8 100644
--- a/src/lib/components/layout/Sidebar/RecursiveFolder.svelte
+++ b/src/lib/components/layout/Sidebar/RecursiveFolder.svelte
@@ -910,6 +910,7 @@
 						on:pointerdown={() => (openPreview = false)}
 					>
 						<FolderMenu
+							onNewChat={openFolderHandler}
 							onEdit={() => {
 								showFolderModal = true;
 							}}