diff --git a/internal/ingress/controller/template/template.go b/internal/ingress/controller/template/template.go
index 132051cb3b..6643027e71 100644
--- a/internal/ingress/controller/template/template.go
+++ b/internal/ingress/controller/template/template.go
@@ -120,7 +120,7 @@ var (
 			}
 			return true
 		},
-		"escapeLocationPathVar":      escapeLocationPathVar,
+		"escapeLiteralDollar":        escapeLiteralDollar,
 		"shouldConfigureLuaRestyWAF": shouldConfigureLuaRestyWAF,
 		"buildLuaSharedDictionaries": buildLuaSharedDictionaries,
 		"buildLocation":              buildLocation,
@@ -162,13 +162,13 @@ var (
 	}
 )
 
-// escapeLocationPathVar will replace the $ character with ${literal_dollar}
+// escapeLiteralDollar will replace the $ character with ${literal_dollar}
 // which is made to work via the following configuration in the http section of
 // the template:
 // geo $literal_dollar {
 //     default "$";
 // }
-func escapeLocationPathVar(input interface{}) string {
+func escapeLiteralDollar(input interface{}) string {
 	inputStr, ok := input.(string)
 	if !ok {
 		return ""
diff --git a/internal/ingress/controller/template/template_test.go b/internal/ingress/controller/template/template_test.go
index fd3c5d0631..a5b11f75fb 100644
--- a/internal/ingress/controller/template/template_test.go
+++ b/internal/ingress/controller/template/template_test.go
@@ -835,15 +835,28 @@ func TestBuildUpstreamName(t *testing.T) {
 	}
 }
 
-func TestEscapeLocationPathVar(t *testing.T) {
-	escapedPath := escapeLocationPathVar("/$")
+func TestEscapeLiteralDollar(t *testing.T) {
+	escapedPath := escapeLiteralDollar("/$")
 	expected := "/${literal_dollar}"
 	if escapedPath != expected {
-		t.Errorf("Expected %s but got %s", expected, escapedPath)
+		t.Errorf("Expected %v but returned %v", expected, escapedPath)
 	}
-	escapedPath = escapeLocationPathVar(false)
+
+	escapedPath = escapeLiteralDollar("/hello-$/world-$/")
+	expected = "/hello-${literal_dollar}/world-${literal_dollar}/"
+	if escapedPath != expected {
+		t.Errorf("Expected %v but returned %v", expected, escapedPath)
+	}
+
+	leaveUnchagned := "/leave-me/unchagned"
+	escapedPath = escapeLiteralDollar(leaveUnchagned)
+	if escapedPath != leaveUnchagned {
+		t.Errorf("Expected %v but returned %v", leaveUnchagned, escapedPath)
+	}
+
+	escapedPath = escapeLiteralDollar(false)
 	expected = ""
 	if escapedPath != expected {
-		t.Errorf("Expected %s but got %s", expected, escapedPath)
+		t.Errorf("Expected %v but returned %v", expected, escapedPath)
 	}
 }
diff --git a/rootfs/etc/nginx/template/nginx.tmpl b/rootfs/etc/nginx/template/nginx.tmpl
index 23d6dfa1b7..714d46dd73 100644
--- a/rootfs/etc/nginx/template/nginx.tmpl
+++ b/rootfs/etc/nginx/template/nginx.tmpl
@@ -976,7 +976,7 @@ stream {
             set $ingress_name   "{{ $ing.Rule }}";
             set $service_name   "{{ $ing.Service }}";
             set $service_port   "{{ $location.Port }}";
-            set $location_path  "{{ $location.Path | escapeLocationPathVar }}";
+            set $location_path  "{{ $location.Path | escapeLiteralDollar }}";
 
             {{ if $all.Cfg.EnableOpentracing }}
             opentracing_propagate_context;