diff --git a/.changeset/nasty-otters-kiss.md b/.changeset/nasty-otters-kiss.md
new file mode 100644
index 000000000..390fa832a
--- /dev/null
+++ b/.changeset/nasty-otters-kiss.md
@@ -0,0 +1,5 @@
+---
+"@callstack/repack-dev-server": minor
+---
+
+Added X-React-Native-Project-Root header, so the RN CLI picks up the running bundler correctly
diff --git a/packages/dev-server/src/createServer.ts b/packages/dev-server/src/createServer.ts
index 565865e3b..813c45078 100644
--- a/packages/dev-server/src/createServer.ts
+++ b/packages/dev-server/src/createServer.ts
@@ -91,6 +91,7 @@ export async function createServer(config: Server.Config) {
 
   instance.addHook('onSend', async (request, reply, payload) => {
     reply.header('X-Content-Type-Options', 'nosniff');
+    reply.header('X-React-Native-Project-Root', config.options.rootDir);
 
     const [pathname] = request.url.split('?');
     if (pathname.endsWith('.map')) {