diff --git a/pkg/features/embedded/grub-config/etc/elemental/grub.cfg b/pkg/features/embedded/grub-config/etc/elemental/grub.cfg
index 0850d30f0cc..5d17c9c6cba 100644
--- a/pkg/features/embedded/grub-config/etc/elemental/grub.cfg
+++ b/pkg/features/embedded/grub-config/etc/elemental/grub.cfg
@@ -112,11 +112,16 @@ menuentry "${display_name} recovery" --id recovery {
 
   # Check the presence of the image and fallback to legacy path if not present
   set img=/recovery.img
-  if [ ! -f "${img}" ]; then
+  if [ -f "${img}" ]; then
+    source (${root})/boot/bootargs.cfg
+    linux (${root})${kernel} ${kernelcmd} ${extra_cmdline} ${extra_recovery_cmdline}
+    initrd (${root})${initramfs}
+  else
+    # Boot using legacy recovery system, everything is included in the loopback image.
     set img=/cOS/recovery.img
+    set_loopdevice ${img}
+    source_bootargs
+    linux (${volume})${kernel} ${kernelcmd} ${extra_cmdline} ${extra_recovery_cmdline}
+    initrd (${volume})${initramfs}
   fi
-
-  source (${root})/boot/bootargs.cfg
-  linux (${root})${kernel} ${kernelcmd} ${extra_cmdline} ${extra_recovery_cmdline}
-  initrd (${root})${initramfs}
 }