diff --git a/backend/e2e-test/routes/v3/secret-recursive.spec.ts b/backend/e2e-test/routes/v3/secret-recursive.spec.ts
new file mode 100644
index 000000000..b28dff985
--- /dev/null
+++ b/backend/e2e-test/routes/v3/secret-recursive.spec.ts
@@ -0,0 +1,86 @@
+import { createFolder, deleteFolder } from "e2e-test/testUtils/folders";
+import { createSecretV2, deleteSecretV2, getSecretsV2 } from "e2e-test/testUtils/secrets";
+
+import { seedData1 } from "@app/db/seed-data";
+
+describe("Secret Recursive Testing", async () => {
+  const projectId = seedData1.projectV3.id;
+  const folderAndSecretNames = [
+    { name: "deep1", path: "/", expectedSecretCount: 4 },
+    { name: "deep21", path: "/deep1", expectedSecretCount: 2 },
+    { name: "deep3", path: "/deep1/deep2", expectedSecretCount: 1 },
+    { name: "deep22", path: "/deep2", expectedSecretCount: 1 }
+  ];
+
+  beforeAll(async () => {
+    const rootFolderIds: string[] = [];
+    for (const folder of folderAndSecretNames) {
+      // eslint-disable-next-line no-await-in-loop
+      const createdFolder = await createFolder({
+        authToken: jwtAuthToken,
+        environmentSlug: "prod",
+        workspaceId: projectId,
+        secretPath: folder.path,
+        name: folder.name
+      });
+
+      if (folder.path === "/") {
+        rootFolderIds.push(createdFolder.id);
+      }
+      // eslint-disable-next-line no-await-in-loop
+      await createSecretV2({
+        secretPath: folder.path,
+        authToken: jwtAuthToken,
+        environmentSlug: "prod",
+        workspaceId: projectId,
+        key: folder.name,
+        value: folder.name
+      });
+    }
+
+    return async () => {
+      await Promise.all(
+        rootFolderIds.map((id) =>
+          deleteFolder({
+            authToken: jwtAuthToken,
+            secretPath: "/",
+            id,
+            workspaceId: projectId,
+            environmentSlug: "prod"
+          })
+        )
+      );
+
+      await deleteSecretV2({
+        authToken: jwtAuthToken,
+        secretPath: "/",
+        workspaceId: projectId,
+        environmentSlug: "prod",
+        key: folderAndSecretNames[0].name
+      });
+    };
+  });
+
+  test.each(folderAndSecretNames)("$path recursive secret fetching", async ({ path, expectedSecretCount }) => {
+    const secrets = await getSecretsV2({
+      authToken: jwtAuthToken,
+      secretPath: path,
+      workspaceId: projectId,
+      environmentSlug: "prod",
+      recursive: true
+    });
+
+    expect(secrets.secrets.length).toEqual(expectedSecretCount);
+    expect(secrets.secrets.sort((a, b) => a.secretKey.localeCompare(b.secretKey))).toEqual(
+      folderAndSecretNames
+        .filter((el) => el.path.startsWith(path))
+        .sort((a, b) => a.name.localeCompare(b.name))
+        .map((el) =>
+          expect.objectContaining({
+            secretKey: el.name,
+            secretValue: el.name
+          })
+        )
+    );
+  });
+});
diff --git a/backend/e2e-test/testUtils/secrets.ts b/backend/e2e-test/testUtils/secrets.ts
index 96ecc91c6..8b9e47f2f 100644
--- a/backend/e2e-test/testUtils/secrets.ts
+++ b/backend/e2e-test/testUtils/secrets.ts
@@ -97,6 +97,7 @@ export const getSecretsV2 = async (dto: {
   environmentSlug: string;
   secretPath: string;
   authToken: string;
+  recursive?: boolean;
 }) => {
   const getSecretsResponse = await testServer.inject({
     method: "GET",
@@ -109,7 +110,8 @@ export const getSecretsV2 = async (dto: {
       environment: dto.environmentSlug,
       secretPath: dto.secretPath,
       expandSecretReferences: "true",
-      include_imports: "true"
+      include_imports: "true",
+      recursive: String(dto.recursive || false)
     }
   });
   expect(getSecretsResponse.statusCode).toBe(200);
diff --git a/backend/src/services/secret-v2-bridge/secret-v2-bridge-fns.ts b/backend/src/services/secret-v2-bridge/secret-v2-bridge-fns.ts
index 95d2cdbf4..79aa22799 100644
--- a/backend/src/services/secret-v2-bridge/secret-v2-bridge-fns.ts
+++ b/backend/src/services/secret-v2-bridge/secret-v2-bridge-fns.ts
@@ -365,9 +365,8 @@ export const recursivelyGetSecretPaths = async ({
     folderId: p.folderId
   }));
 
-  const pathsInCurrentDirectory = paths.filter((folder) =>
-    folder.path.startsWith(currentPath === "/" ? "" : currentPath)
-  );
+  // path relative will start with ../ if its outside directory
+  const pathsInCurrentDirectory = paths.filter((folder) => !path.relative(currentPath, folder.path).startsWith(".."));
 
   return pathsInCurrentDirectory;
 };