The user has declined permission error when trying to use xlwings library to read XL files

I am trying to run the following code in Cursor in Jupyter notebook and I get an error about invalid permission

import xlwings as xw
wb = xw.Book("input/temp.xlsx")

When I run the same code in VS Code, it works. When I checked in the forums of Xlwings, they say that the application (here Cursor) has not implemented it properly - here is the link to the post - python - OSERROR: -1743 MESSAGE: The user has declined permission - Stack Overflow

Can you please check whether it is a bug and fix it - when I run the code, I get a pop asking for permission to allow Cursor to access file and I said yes. But I still get the error.

You can reproduce the error above using any XL file.

any update on this, please?