Run ts-node in VSCode Debugger

launch.json

{
  "version": "0.2.0",
  "configurations": [
    {
      "name": "Example",
      "type": "node",
      "request": "launch",
      "runtimeExecutable": "node",
      "runtimeArgs": ["--nolazy", "-r", "ts-node/register/transpile-only"],

      "args": ["src/script.ts", "--example", "hello"],
      
      "cwd": "${workspaceRoot}",
      "internalConsoleOptions": "openOnSessionStart",
      "skipFiles": ["<node_internals>/**", "node_modules/**"]
    }
  ]
}

Unfortunately, this does not work with "console": "internalTerminal", I'm getting Cannot find module ts-node/register/transpile-only. (ts-node is installed locally as a dev dependency - I tried everything, deleting node_modules, restarting..).

With "console": "externalTerminal" it seems to work.

Any idea why this has to do with the "console" setting?

Does anyone knows how to make it work with yarn pnp? I keep getting error that Uncaught Error Error: Cannot find module 'ts-node/register' despite that ts-node installed in my package