tsconfig.json

{
  "compilerOptions": {
    /* Language and Environment */
    "target": "es5",                                     /* Set the JavaScript language version for emitted JavaScript and include compatible library declarations. */
    "lib": ["es2018"],                                        /* Specify a set of bundled library declaration files that describe the target runtime environment. */
    "jsx": "react",

    /* Modules */
    "module": "commonjs",                                /* Specify what module code is generated. */

    /* Emit */
    "outDir": "lib",                                   /* Specify an output folder for all emitted files. */
    "declaration": true,
    "emitDeclarationOnly": true,                        /* Only emit d.ts files; babel handles actual transformation */

    /* Interop Constraints */
    "esModuleInterop": true,                             /* Emit additional JavaScript to ease support for importing CommonJS modules. This enables `allowSyntheticDefaultImports` for type compatibility. */
    "forceConsistentCasingInFileNames": true,            /* Ensure that casing is correct in imports. */

    /* Type Checking */
    "strict": true,                                      /* Enable all strict type-checking options. */

    /* Completeness */
    "skipLibCheck": true,                                 /* Skip type checking all .d.ts files. */

    /* Performance */
    "incremental": true,                                   /* Use a local cache to speed up incremental builds. */
    "tsBuildInfoFile": "tsconfig.tsbuildinfo"              /* Store build info at the root */
  },
  "include": ["src/**/*.ts", "src/**/*.json", "src/App.tsx"],
}