It’s possible that you have a .cursorignore file in a parent folder above the project you have open. This is actually a specific feature, as we wanted to ensure that a .cursorignore files in places like monorepos still take effect, even if you open one of the specific projects within the monorepo on it’s own in Cursor.
So for your case, my guess is you might have a .cursorignore file in the P:/init folder?
Secondly, files in your .gitignore are excluded by default, with the concept being that things like codefiles and the things you want indexed are usually included in a Git repo, but files like .envs and build files would equally not want to be in a Git repo or in the codebase index for the AI to use.
If not, you might want to check the cursor.general.globalCursorIgnoreList in the settings (not Cursor Settings) list, in case theres some changes to the default excluded file patterns.