diff --git a/.github/workflows/ci.yml b/.github/workflows/ci.yml
index 5ed2eeab0..4e68a9f7d 100644
--- a/.github/workflows/ci.yml
+++ b/.github/workflows/ci.yml
@@ -108,3 +108,11 @@ jobs:
           cache-dependency-path: website/package-lock.json
       - run: npm ci
       - run: npm run fmt:check
+
+  snforge-init:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/checkout@v4
+      - uses: dtolnay/rust-toolchain@stable
+      - uses: foundry-rs/setup-snfoundry@v3
+      - run: cargo test --profile=ci --package scarb --test snforge_init new_simple -- --ignored
diff --git a/scarb/src/ops/new.rs b/scarb/src/ops/new.rs
index 5aaa404ea..8589bf67b 100644
--- a/scarb/src/ops/new.rs
+++ b/scarb/src/ops/new.rs
@@ -217,12 +217,12 @@ fn mk(
     Ok(())
 }
 
-fn init_snforge(name: PackageName, target_dir: Utf8PathBuf, config: &Config) -> Result<()> {
-    let target_dir = target_dir.parent().context("package must have a parent")?;
+fn init_snforge(name: PackageName, root_dir: Utf8PathBuf, config: &Config) -> Result<()> {
     let mut process = Command::new("snforge")
-        .arg("init")
-        .arg(name.as_str())
-        .current_dir(target_dir)
+        .arg("new")
+        .args(["--name", name.as_str()])
+        .arg("--overwrite")
+        .arg(root_dir.as_str())
         .envs(get_env_vars(config, None)?)
         .stderr(Stdio::inherit())
         .stdout(Stdio::inherit())
diff --git a/scarb/tests/snforge_init.rs b/scarb/tests/snforge_init.rs
index 8e19310a3..5cf93b117 100644
--- a/scarb/tests/snforge_init.rs
+++ b/scarb/tests/snforge_init.rs
@@ -3,14 +3,23 @@ use assert_fs::TempDir;
 use scarb::core::TomlManifest;
 use scarb_test_support::command::Scarb;
 use scarb_test_support::fsx::AssertFsUtf8Ext;
+use test_case::test_case;
 
-#[test]
+#[test_case(None)]
+#[test_case(Some("simple_project"))]
 #[ignore = "run this test by name"]
-fn new_simple() {
+fn new_simple(package_name: Option<&str>) {
     let pt = TempDir::new().unwrap();
 
+    let name_args = if let Some(package_name) = package_name {
+        vec!["--name", package_name]
+    } else {
+        vec![]
+    };
+
     Scarb::quick_snapbox()
         .arg("new")
+        .args(name_args)
         .arg("hello")
         .args(["--test-runner", "starknet-foundry"])
         .current_dir(&pt)
@@ -27,7 +36,10 @@ fn new_simple() {
     assert!(t.child(".git").is_dir());
 
     let toml_manifest = TomlManifest::read_from_path(t.child("Scarb.toml").utf8_path()).unwrap();
-    assert_eq!(toml_manifest.package.unwrap().name.as_str(), "hello");
+    assert_eq!(
+        toml_manifest.package.unwrap().name.as_str(),
+        package_name.unwrap_or("hello")
+    );
     let deps = toml_manifest.dependencies.unwrap();
     assert_eq!(deps.len(), 1);
     assert!(deps.contains_key("starknet"));