diff --git a/ide/environmentopts.pp b/ide/environmentopts.pp
index 0c5768fd28..1e1c5a2b20 100644
--- a/ide/environmentopts.pp
+++ b/ide/environmentopts.pp
@@ -2466,8 +2466,7 @@ begin
   RemoveFromRecentList(AFilename,FRecentOpenFiles,rltFile);
 end;
 
-procedure TEnvironmentOptions.RemoveFromRecentPackageFiles(
-  const AFilename: string);
+procedure TEnvironmentOptions.RemoveFromRecentPackageFiles(const AFilename: string);
 begin
   RemoveFromRecentList(AFilename,FRecentPackageFiles,rltFile);
 end;
diff --git a/ide/ideprocs.pp b/ide/ideprocs.pp
index 31dd0efb85..a93298ee23 100644
--- a/ide/ideprocs.pp
+++ b/ide/ideprocs.pp
@@ -108,6 +108,7 @@ function SwitchPathDelims(const Filename: string; Switch: boolean): string;
 function CheckPathDelim(const OldPathDelim: string; out Changed: boolean): TPathDelimSwitch;
 function IsCurrentPathDelim(Switch: TPathDelimSwitch): boolean;
 function ChompEndNumber(const s: string): string;
+function ShortDisplayFilename(const aFileName: string): string;
 
 // cmd line
 procedure SplitCmdLine(const CmdLine: string;
@@ -923,6 +924,35 @@ begin
   Result:=copy(Result,1,NewLen);
 end;
 
+function ShortDisplayFilename(const aFileName: string): string;
+// Shorten a long filename for display.
+// Add '...' after the 2. path delimiter, then the end part of filename.
+const
+  Limit = 80;
+var
+  StartLen, EndLen, SepCnt: Integer;
+begin
+  if Length(aFileName) > Limit then
+  begin
+    StartLen := 1;
+    SepCnt := 0;
+    while StartLen < Length(aFileName) - (Limit div 2) do
+    begin
+      if aFileName[StartLen] in AllowDirectorySeparators then
+      begin
+        Inc(SepCnt);
+        if SepCnt = 2 then Break;
+      end;
+      Inc(StartLen);
+    end;
+    EndLen := Limit - StartLen - 3;
+    Result := Copy(aFileName, 1, StartLen) + '...'
+            + Copy(aFileName, Length(aFileName)-EndLen+1, EndLen);
+  end
+  else
+    Result := aFileName;
+end;
+
 function FindFirstFileWithExt(const Directory, Ext: string): string;
 var
   FileInfo: TSearchRec;
diff --git a/ide/main.pp b/ide/main.pp
index 3c1e17a345..28840a92d4 100644
--- a/ide/main.pp
+++ b/ide/main.pp
@@ -2995,7 +2995,8 @@ procedure TMainIDE.mnuOpenRecentClicked(Sender: TObject);
 var
   AFilename: string;
 begin
-  AFileName:=ExpandFileNameUTF8((Sender as TIDEMenuItem).Caption);
+  // Hint holds the full filename, Caption may have a shortened form.
+  AFileName:=(Sender as TIDEMenuItem).Hint;
   if DoOpenEditorFile(AFilename,-1,-1,[ofAddToRecent])=mrOk then begin
     UpdateEnvironment;
   end else begin
diff --git a/ide/mainbase.pas b/ide/mainbase.pas
index 3b9506ba18..3710bb9e52 100644
--- a/ide/mainbase.pas
+++ b/ide/mainbase.pas
@@ -516,7 +516,7 @@ end;
 
 procedure TOpenFileToolButton.mnuOpenFile(Sender: TObject);
 begin
-  if MainIDE.DoOpenEditorFile((Sender as TOpenFileMenuItem).FileName,-1,-1,
+  if MainIDE.DoOpenEditorFile((Sender as TOpenFileMenuItem).Hint, -1, -1,
     [ofAddToRecent])=mrOk then
   begin
     MainIDE.SetRecentFilesMenu;
@@ -526,10 +526,12 @@ end;
 
 procedure TOpenFileToolButton.mnuProjectFile(Sender: TObject);
 begin
-  MainIDE.DoOpenProjectFile((Sender as TOpenFileMenuItem).FileName,[ofAddToRecent]);
+  // Hint holds the full filename, Caption may have a shortened form.
+  MainIDE.DoOpenProjectFile((Sender as TOpenFileMenuItem).Hint, [ofAddToRecent]);
 end;
 
 procedure TOpenFileToolButton.RefreshMenu(Sender: TObject);
+
   procedure AddFile(const AFileName: string; const AOnClick: TNotifyEvent);
   var
     AMenuItem: TOpenFileMenuItem;
@@ -539,7 +541,8 @@ procedure TOpenFileToolButton.RefreshMenu(Sender: TObject);
     DropdownMenu.Items.Add(AMenuItem);
     AMenuItem.OnClick := AOnClick;
     AMenuItem.FileName := AFileName;
-    AMenuItem.Caption := AFilename;
+    AMenuItem.Caption := ShortDisplayFilename(AFilename);
+    AMenuItem.Hint := AFilename; // Hint is not shown, it just holds the full filename.
     xExt := ExtractFileExt(AFileName);
     if SameFileName(xExt, '.lpi') or SameFileName(xExt, '.lpr') then
       AMenuItem.ImageIndex := LoadProjectIconIntoImages(AFileName, DropdownMenu.Images, FIndex);
@@ -1933,7 +1936,8 @@ begin
   // set captions and event
   for i:=0 to FileList.Count-1 do begin
     AMenuItem:=Section.Items[i];
-    AMenuItem.Caption := FileList[i];
+    AMenuItem.Caption := ShortDisplayFilename(FileList[i]);
+    AMenuItem.Hint := FileList[i]; // Hint is not shown, it just holds the full filename.
     AMenuItem.OnClick := OnClickEvent;
   end;
 end;
diff --git a/ide/sourcefilemanager.pas b/ide/sourcefilemanager.pas
index f8c43af24d..bf8c8bc6f5 100644
--- a/ide/sourcefilemanager.pas
+++ b/ide/sourcefilemanager.pas
@@ -4361,15 +4361,19 @@ end;
 
 procedure TLazSourceFileManager.OpenProject(aMenuItem: TIDEMenuItem);
 var
-  OpenDialog:TOpenDialog;
+  OpenDialog: TOpenDialog;
   AFileName: string;
   LoadFlags: TLoadBufferFlags;
   PreReadBuf: TCodeBuffer;
   SourceType: String;
   LPIFilename: String;
 begin
-  if Assigned(aMenuItem) and (aMenuItem.Section=itmProjectRecentOpen) then begin
-    AFileName:=ExpandFileNameUTF8(aMenuItem.Caption);
+  if Assigned(aMenuItem) and (aMenuItem.Section=itmProjectRecentOpen) then
+  begin
+    // Hint holds the full filename, Caption may have a shortened form.
+    AFileName:=aMenuItem.Hint;
+    Assert(AFileName = ExpandFileNameUTF8(AFileName),
+           'TLazSourceFileManager.OpenProject: AFileName is not absolute.');
     if MainIDE.DoOpenProjectFile(AFilename,[ofAddToRecent])=mrOk then begin
       AddRecentProjectFile(AFilename);
     end else begin
diff --git a/packager/pkgmanager.pas b/packager/pkgmanager.pas
index 024eee988b..288e4b7fd0 100644
--- a/packager/pkgmanager.pas
+++ b/packager/pkgmanager.pas
@@ -1065,14 +1065,15 @@ procedure TPkgManager.MainIDEitmOpenRecentPackageClicked(Sender: TObject);
 var
   AFilename: string;
 begin
-  AFileName:=ExpandFileNameUTF8((Sender as TIDEMenuItem).Caption);
+  // Hint holds the full filename, Caption may have a shortened form.
+  AFileName:=(Sender as TIDEMenuItem).Hint;
   if DoOpenPackageFile(AFilename,[pofAddToRecent],false)=mrOk then begin
     UpdateEnvironment;
   end else begin
     // open failed
     if not FileExistsUTF8(AFilename) then begin
       // file does not exist -> delete it from recent file list
-      RemoveFromRecentList(AFilename,EnvironmentOptions.RecentPackageFiles,rltFile);
+      EnvironmentOptions.RemoveFromRecentPackageFiles(AFilename);
       UpdateEnvironment;
     end;
   end;
@@ -3034,7 +3035,8 @@ end;
 procedure TPkgManager.SetRecentPackagesMenu;
 begin
   MainIDE.SetRecentSubMenu(itmPkgOpenRecent,
-     EnvironmentOptions.RecentPackageFiles,@MainIDEitmOpenRecentPackageClicked);
+                           EnvironmentOptions.RecentPackageFiles,
+                           @MainIDEitmOpenRecentPackageClicked);
 end;
 
 procedure TPkgManager.AddToMenuRecentPackages(const Filename: string);