BUG #17111: Database created, cannot be created, but reported as inexist

The following bug has been logged on the website:

Bug reference: 17111
Logged by: Bernaridho Hutabarat
Email address: bernaridho(at)outlook(dot)co(dot)id
PostgreSQL version: 12.7
Operating system: CentOS
Description:

postgres=# \c Database
FATAL: database "Database" does not exist
Previous connection kept
postgres=# CREATE DATABASE Database;
ERROR: database "database" already exists
postgres=# DROP DATABASE Database;
DROP DATABASE
postgres=# CREATE DATABASE Database OWNER ServiceUser1;
CREATE DATABASE
postgres=# \c Database;
FATAL: database "Database" does not exist
Previous connection kept
postgres=# DROP DATABASE Database;
DROP DATABASE
postgres=# CREATE DATABASE Database OWNER postgres;
CREATE DATABASE
postgres=# \c Database;
FATAL: database "Database" does not exist
Previous connection kept
postgres=# DROP DATABASE Database;
DROP DATABASE
postgres=# \q