diff --git a/vlib/v/checker/tests/static_vars_in_translated_mode.vv b/vlib/v/checker/tests/static_vars_in_translated_mode.vv
index e3abc22a96..4c8b38a607 100644
--- a/vlib/v/checker/tests/static_vars_in_translated_mode.vv
+++ b/vlib/v/checker/tests/static_vars_in_translated_mode.vv
@@ -1,6 +1,6 @@
 [unsafe]
 fn counter() int {
-	static mut icounter := 0
+	static icounter := 0
 	icounter++
 	return icounter
 }
diff --git a/vlib/v/tests/inout/file.md b/vlib/v/tests/inout/file.md
new file mode 100644
index 0000000000..ba3fc2f445
--- /dev/null
+++ b/vlib/v/tests/inout/file.md
@@ -0,0 +1,8 @@
+@include './header.md'
+
+This is the main content:
+-------------------------
+@content
+-------------------------
+
+@include './footer.md'
diff --git a/vlib/v/tests/inout/footer.md b/vlib/v/tests/inout/footer.md
new file mode 100644
index 0000000000..fa5713a15b
--- /dev/null
+++ b/vlib/v/tests/inout/footer.md
@@ -0,0 +1 @@
+my footer
diff --git a/vlib/v/tests/inout/header.md b/vlib/v/tests/inout/header.md
new file mode 100644
index 0000000000..171d4b5b27
--- /dev/null
+++ b/vlib/v/tests/inout/header.md
@@ -0,0 +1 @@
+my header
diff --git a/vlib/v/tests/inout/tmpl_all_in_one_folder.out b/vlib/v/tests/inout/tmpl_all_in_one_folder.out
new file mode 100644
index 0000000000..649f5915af
--- /dev/null
+++ b/vlib/v/tests/inout/tmpl_all_in_one_folder.out
@@ -0,0 +1,8 @@
+my header
+
+This is the main content:
+-------------------------
+some string
+-------------------------
+
+my footer
diff --git a/vlib/v/tests/inout/tmpl_all_in_one_folder.vv b/vlib/v/tests/inout/tmpl_all_in_one_folder.vv
new file mode 100644
index 0000000000..30aaf6971d
--- /dev/null
+++ b/vlib/v/tests/inout/tmpl_all_in_one_folder.vv
@@ -0,0 +1,8 @@
+fn abc() string {
+	content := 'some string'
+	return $tmpl('file.md')
+}
+
+fn main() {
+	print(abc())
+}
diff --git a/vlib/vweb/tmpl/tmpl.v b/vlib/vweb/tmpl/tmpl.v
index 5c328faf80..853ef9c3f6 100644
--- a/vlib/vweb/tmpl/tmpl.v
+++ b/vlib/vweb/tmpl/tmpl.v
@@ -13,8 +13,9 @@ const (
 
 // compile_file compiles the content of a file by the given path as a template
 pub fn compile_file(path string, fn_name string) string {
+	basepath := os.dir(path)
 	html := os.read_file(path) or { panic('html failed') }
-	return compile_template(html, fn_name)
+	return compile_template(basepath, html, fn_name)
 }
 
 enum State {
@@ -24,7 +25,7 @@ enum State {
 	// span // span.{
 }
 
-pub fn compile_template(html_ string, fn_name string) string {
+pub fn compile_template(basepath string, html_ string, fn_name string) string {
 	// lines := os.read_lines(path)
 	mut html := html_.trim_space()
 	mut header := ''
@@ -81,19 +82,19 @@ _ = footer
 				file_ext = '.html'
 			}
 			file_name = file_name.replace(file_ext, '')
-			mut templates_folder := 'templates'
+			mut templates_folder := os.join_path(basepath, 'templates')
 			if file_name.contains('/') {
 				if file_name.starts_with('/') {
 					// absolute path
 					templates_folder = ''
 				} else {
 					// relative path, starting with the current folder
-					templates_folder = './'
+					templates_folder = os.real_path(basepath)
 				}
 			}
 			file_path := os.real_path(os.join_path(templates_folder, '$file_name$file_ext'))
 			$if trace_tmpl ? {
-				eprintln('>>> @include line: "$line" , file_name: "$file_name" , file_ext: "$file_ext" , templates_folder: "$templates_folder" , file_path: "$file_path"')
+				eprintln('>>> basepath: "$basepath" , fn_name: "$fn_name" , @include line: "$line" , file_name: "$file_name" , file_ext: "$file_ext" , templates_folder: "$templates_folder" , file_path: "$file_path"')
 			}
 			file_content := os.read_file(file_path) or {
 				panic('Vweb: Reading file $file_name failed.')