diff --git a/.changeset/preserve-apim-backend-base.md b/.changeset/preserve-apim-backend-base.md
new file mode 100644
index 00000000..471f5a8b
--- /dev/null
+++ b/.changeset/preserve-apim-backend-base.md
@@ -0,0 +1,5 @@
+---
+'@gradientedge/cdk-utils-azure': patch
+---
+
+Preserve inherited API Management backend policies when custom backend policy content is configured.
diff --git a/packages/azure/src/construct/rest-api-function/main.ts b/packages/azure/src/construct/rest-api-function/main.ts
index c02ffd0a..6304e635 100644
--- a/packages/azure/src/construct/rest-api-function/main.ts
+++ b/packages/azure/src/construct/rest-api-function/main.ts
@@ -360,7 +360,8 @@ export class AzureRestApiFunction extends AzureFunctionApp {
- ${this.api.backendPolicyXmlContent ?? ''}
+
+ ${this.api.backendPolicyXmlContent ?? ''}
diff --git a/packages/azure/test/constructs/rest-api-function.test.ts b/packages/azure/test/constructs/rest-api-function.test.ts
index d48ec90e..8678a74d 100644
--- a/packages/azure/test/constructs/rest-api-function.test.ts
+++ b/packages/azure/test/constructs/rest-api-function.test.ts
@@ -632,6 +632,7 @@ describe('TestAzureRestApiFunctionWithPolicyConstruct', () => {
expect(stackWithPolicy.construct).toBeDefined()
expect(stackWithPolicy.construct.api).toBeDefined()
await expect(customApiPolicyValue).resolves.toContain('')
+ await expect(customApiPolicyValue).resolves.toContain('')
})
test('dashboardVariables returns expected variables', () => {