Hey ​@Ugonna Okoli, thanks for reaching out! I’ve reached out internally to the teams for help and they’ve provided the following info:

It shows "Loading tools" when it can't connect to the MCP server - i.e. you would see the same if you hadn't started the server.

1. Make sure the MCP server is enabled in the desktop app (you can confirm this by seeing Invalid session Id if you open http://127.0.0.1:3845/mcp in your browser).
2. Check if you’re doing remote development - if you are, you need to forward port 3845.

Please let me know if this helps, happy to help out further! 

You may have not enabled the local MCP server yet.

https://help.figma.com/hc/en-us/articles/32132100833559-Guide-to-the-Dev-Mode-MCP-Server#h_01K25F7RBP00A3VH1733692QN2

I just started using cursor yesterday, come back today and Im having the exact same issue. Everything IS connected, so thats not the issue. Clearly, this do reconnect automatically so how do we do it manually without losing our work?

I had same problem. Just delete Figma MCP from cursor, and add it again. Now it is working.