diff --git a/src/test/regress/expected/other_databases.out b/src/test/regress/expected/other_databases.out
index 1e83f727b36..c67746055a5 100644
--- a/src/test/regress/expected/other_databases.out
+++ b/src/test/regress/expected/other_databases.out
@@ -197,7 +197,122 @@ SELECT * FROM public.check_database_on_all_nodes('other_db4') ORDER BY node_type
 (3 rows)
 
 DROP DATABASE worker_other_db;
+CREATE DATABASE other_db5;
+-- disable create database propagation for the next test
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
+    result
+---------------------------------------------------------------------
+ ALTER SYSTEM
+ ALTER SYSTEM
+ ALTER SYSTEM
+(3 rows)
+
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+ result
+---------------------------------------------------------------------
+ t
+ t
+ t
+(3 rows)
+
+SELECT pg_sleep(0.1);
+ pg_sleep
+---------------------------------------------------------------------
+
+(1 row)
+
+\c other_db5 - - :worker_2_port
+-- locally create a database
+CREATE DATABASE local_db;
+\c regression - - -
+-- re-enable create database propagation
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO true$$);
+    result
+---------------------------------------------------------------------
+ ALTER SYSTEM
+ ALTER SYSTEM
+ ALTER SYSTEM
+(3 rows)
+
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+ result
+---------------------------------------------------------------------
+ t
+ t
+ t
+(3 rows)
+
+SELECT pg_sleep(0.1);
+ pg_sleep
+---------------------------------------------------------------------
+
+(1 row)
+
+\c other_db5 - - :master_port
+-- Test a scenario where create database fails because the database
+-- already exists on another node and we don't crash etc.
+CREATE DATABASE local_db;
+ERROR:  database "local_db" already exists
+CONTEXT:  while executing command on localhost:xxxxx
+while executing command on localhost:xxxxx
+\c regression - - -
+SELECT * FROM public.check_database_on_all_nodes('local_db') ORDER BY node_type, result;
+      node_type       |                                                                                                                                                                                                                       result
+---------------------------------------------------------------------
+ coordinator (local)  | {"database_properties": null, "pg_dist_object_record_for_db_exists": false, "stale_pg_dist_object_record_for_a_db_exists": false}
+ worker node (remote) | {"database_properties": null, "pg_dist_object_record_for_db_exists": false, "stale_pg_dist_object_record_for_a_db_exists": false}
+ worker node (remote) | {"database_properties": {"datacl": null, "datname": "local_db", "datctype": "C", "encoding": "UTF8", "datcollate": "C", "tablespace": "pg_default", "daticurules": null, "datallowconn": true, "datconnlimit": -1, "daticulocale": null, "datistemplate": false, "database_owner": "postgres", "datcollversion": null, "datlocprovider": "c"}, "pg_dist_object_record_for_db_exists": false, "stale_pg_dist_object_record_for_a_db_exists": false}
+(3 rows)
+
+\c - - - :worker_2_port
+-- locally drop the database for cleanup purposes
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
+    result
+---------------------------------------------------------------------
+ ALTER SYSTEM
+ ALTER SYSTEM
+ ALTER SYSTEM
+(3 rows)
+
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+ result
+---------------------------------------------------------------------
+ t
+ t
+ t
+(3 rows)
+
+SELECT pg_sleep(0.1);
+ pg_sleep
+---------------------------------------------------------------------
+
+(1 row)
+
+DROP DATABASE local_db;
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO true$$);
+    result
+---------------------------------------------------------------------
+ ALTER SYSTEM
+ ALTER SYSTEM
+ ALTER SYSTEM
+(3 rows)
+
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+ result
+---------------------------------------------------------------------
+ t
+ t
+ t
+(3 rows)
+
+SELECT pg_sleep(0.1);
+ pg_sleep
+---------------------------------------------------------------------
+
+(1 row)
+
 \c - - - :master_port
+DROP DATABASE other_db5;
 SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
     result
 ---------------------------------------------------------------------
diff --git a/src/test/regress/sql/other_databases.sql b/src/test/regress/sql/other_databases.sql
index cd224ffbc09..aa936e50753 100644
--- a/src/test/regress/sql/other_databases.sql
+++ b/src/test/regress/sql/other_databases.sql
@@ -127,8 +127,53 @@ DROP DATABASE other_db4;
 SELECT * FROM public.check_database_on_all_nodes('other_db4') ORDER BY node_type;
 
 DROP DATABASE worker_other_db;
+
+CREATE DATABASE other_db5;
+
+-- disable create database propagation for the next test
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+SELECT pg_sleep(0.1);
+
+\c other_db5 - - :worker_2_port
+
+-- locally create a database
+CREATE DATABASE local_db;
+
+\c regression - - -
+
+-- re-enable create database propagation
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO true$$);
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+SELECT pg_sleep(0.1);
+
+\c other_db5 - - :master_port
+
+-- Test a scenario where create database fails because the database
+-- already exists on another node and we don't crash etc.
+CREATE DATABASE local_db;
+
+\c regression - - -
+
+SELECT * FROM public.check_database_on_all_nodes('local_db') ORDER BY node_type, result;
+
+\c - - - :worker_2_port
+
+-- locally drop the database for cleanup purposes
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+SELECT pg_sleep(0.1);
+
+DROP DATABASE local_db;
+
+SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO true$$);
+SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
+SELECT pg_sleep(0.1);
+
 \c - - - :master_port
 
+DROP DATABASE other_db5;
+
 SELECT result FROM run_command_on_all_nodes($$ALTER SYSTEM SET citus.enable_create_database_propagation TO false$$);
 SELECT result FROM run_command_on_all_nodes($$SELECT pg_reload_conf()$$);
 SELECT pg_sleep(0.1);