diff --git a/crates/compiler/constrain/src/expr.rs b/crates/compiler/constrain/src/expr.rs
index d5f64ca248..c64a2950df 100644
--- a/crates/compiler/constrain/src/expr.rs
+++ b/crates/compiler/constrain/src/expr.rs
@@ -3307,8 +3307,6 @@ fn constraint_recursive_function(
 
             let loc_pattern = Loc::at(loc_symbol.region, Pattern::Identifier(loc_symbol.value));
 
-            flex_info.vars.extend(new_infer_variables);
-
             let signature_index = constraints.push_type(types, signature);
 
             let annotation_expected = constraints.push_expected_type(FromAnnotation(
@@ -3432,14 +3430,25 @@ fn constraint_recursive_function(
             let def_con = constraints.exists(vars, and_constraint);
 
             rigid_info.vars.extend(&new_rigid_variables);
+            flex_info.vars.extend(&new_infer_variables);
 
-            rigid_info.constraints.push(constraints.let_constraint(
-                new_rigid_variables,
-                def_pattern_state.vars,
-                [], // no headers introduced (at this level)
-                def_con,
-                Constraint::True,
-            ));
+            rigid_info.constraints.push({
+                // Solve the body of the recursive function, making sure it lines up with the
+                // signature.
+                let rigids = new_rigid_variables;
+                let flex = def_pattern_state
+                    .vars
+                    .into_iter()
+                    .chain(new_infer_variables);
+
+                constraints.let_constraint(
+                    rigids,
+                    flex,
+                    [], // no headers introduced (at this level)
+                    def_con,
+                    Constraint::True,
+                )
+            });
             rigid_info.def_types.extend(def_pattern_state.headers);
         }
     }
diff --git a/crates/compiler/solve/tests/solve_expr.rs b/crates/compiler/solve/tests/solve_expr.rs
index 0d51bfedf0..080f8b636f 100644
--- a/crates/compiler/solve/tests/solve_expr.rs
+++ b/crates/compiler/solve/tests/solve_expr.rs
@@ -380,7 +380,6 @@ mod solve_expr {
         let known_specializations = abilities_store.iter_declared_implementations().filter_map(
             |(impl_key, member_impl)| match member_impl {
                 MemberImpl::Impl(impl_symbol) => {
-                    dbg!(impl_symbol);
                     let specialization = abilities_store.specialization_info(*impl_symbol).expect(
                         "declared implementations should be resolved conclusively after solving",
                     );
@@ -8320,4 +8319,21 @@ mod solve_expr {
         print_only_under_alias: true
         )
     }
+
+    #[test]
+    fn infer_concrete_type_with_inference_var() {
+        infer_queries!(indoc!(
+            r#"
+            app "test" provides [f] to "./platform"
+
+            f : _ -> {}
+            f = \_ -> f {}
+            #^{-1}
+            "#
+        ),
+        @r###"
+        f : {} -[[f(0)]]-> {}
+        "###
+        )
+    }
 }