I am trying to create Folder in Sharepoint List using K2 for sharepoint workflow component called "Create List Item".
In "Create List Item" component i provided value in the Folder section as attched , but folder was not created.
Sharepoint list item was created instead of folder.
It looks like you are using the Create List Item step, it might not be the correct step for this scenario, see link. The Folder option means to specify existing folder on the list. You might want to take a look at the Add Document Library step for the SharePoint Document library as it has option to handle creating folder.