diff --git a/omegaconf/grammar/OmegaConfGrammarLexer.g4 b/omegaconf/grammar/OmegaConfGrammarLexer.g4
index e7325f8ad..73f616b7c 100644
--- a/omegaconf/grammar/OmegaConfGrammarLexer.g4
+++ b/omegaconf/grammar/OmegaConfGrammarLexer.g4
@@ -23,11 +23,10 @@ ANY_STR: ~[$]* ~[\\$];
 // Escaped interpolation: '\${', optionally preceded by an even number of \
 ESC_INTER: ESC_BACKSLASH* '\\${';
 
-// Escaped backslashes: even number of \ followed by an interpolation.
-// The interpolation must *not* be matched by this rule (this is why we use a predicate lookahead).
-TOP_ESC: ESC_BACKSLASH+ { self._input.LA(1) == ord("$") and self._input.LA(2) == ord("{") }? -> type(ESC);
+// Backslashes that *may* be escaped (even number).
+TOP_ESC: ESC_BACKSLASH+;
 
-// Other backslashes that will not need escaping.
+// Other backslashes that will not need escaping (odd number due to not matching the previous rule).
 BACKSLASHES: '\\'+ -> type(ANY_STR);
 
 // The dollar sign must be singled out so that we can recognize interpolations.
@@ -111,19 +110,10 @@ QSINGLE_STR: ~['$]* ~['\\$] -> type(ANY_STR);
 
 QSINGLE_ESC_INTER: ESC_INTER -> type(ESC_INTER);
 
-// In a quoted string we also have the following escape sequences:
-//    - \', optionally preceded by an even number of \ (escaped quote)
-//    - an even number of \ followed by either the closing quote (trailing backslashes) or by
-//      an interpolation (as in `DEFAULT_MODE`) -- which must not be matched by this rule
-QSINGLE_ESC:
-    (
-        ESC_BACKSLASH* '\\\'' |
-        ESC_BACKSLASH+ {(
-            self._input.LA(1) == ord("'") or
-            (self._input.LA(1) == ord("$") and self._input.LA(2) == ord("{"))
-        )}?
-    ) -> type(ESC);
+// Escaped quote (optionally preceded by an even number of backslashes).
+QSINGLE_ESC_QUOTE: ESC_BACKSLASH* '\\\'' -> type(ESC);
 
+QUOTED_ESC: ESC_BACKSLASH+;
 QSINGLE_BACKSLASHES: '\\'+ -> type(ANY_STR);
 QSINGLE_DOLLAR: '$' -> type(ANY_STR);
 
@@ -140,17 +130,8 @@ QDOUBLE_INTER_OPEN: INTER_OPEN -> type(INTER_OPEN), pushMode(INTERPOLATION_MODE)
 QDOUBLE_CLOSE: '"' -> type(MATCHING_QUOTE_CLOSE), popMode;
 
 QDOUBLE_STR: ~["$]* ~["\\$] -> type(ANY_STR);
-
 QDOUBLE_ESC_INTER: ESC_INTER -> type(ESC_INTER);
-
-QDOUBLE_ESC:
-    (
-        ESC_BACKSLASH* '\\"' |
-        ESC_BACKSLASH+ {(
-            self._input.LA(1) == ord('"') or
-            (self._input.LA(1) == ord("$") and self._input.LA(2) == ord("{"))
-        )}?
-    ) -> type(ESC);
-
+QDOUBLE_ESC_QUOTE: ESC_BACKSLASH* '\\"' -> type(ESC);
+QDOUBLE_ESC: ESC_BACKSLASH+ -> type(QUOTED_ESC);
 QDOUBLE_BACKSLASHES: '\\'+ -> type(ANY_STR);
 QDOUBLE_DOLLAR: '$' -> type(ANY_STR);
diff --git a/omegaconf/grammar/OmegaConfGrammarParser.g4 b/omegaconf/grammar/OmegaConfGrammarParser.g4
index 5ec70cf07..f0f256c9a 100644
--- a/omegaconf/grammar/OmegaConfGrammarParser.g4
+++ b/omegaconf/grammar/OmegaConfGrammarParser.g4
@@ -23,7 +23,7 @@ singleElement: element EOF;
 
 // Composite text expression (may contain interpolations).
 
-text: (interpolation | ESC | ESC_INTER | ANY_STR)+;
+text: (interpolation | ANY_STR | ESC | ESC_INTER | TOP_ESC | QUOTED_ESC)+;
 
 
 // Elements.
diff --git a/omegaconf/grammar_visitor.py b/omegaconf/grammar_visitor.py
index 8df6bfa70..1771516dc 100644
--- a/omegaconf/grammar_visitor.py
+++ b/omegaconf/grammar_visitor.py
@@ -1,12 +1,12 @@
 import sys
 import warnings
+from itertools import zip_longest
 from typing import (
     TYPE_CHECKING,
     Any,
     Callable,
     Dict,
     Generator,
-    Iterable,
     List,
     Optional,
     Set,
@@ -289,7 +289,7 @@ def visitSingleElement(
         return self.visit(ctx.getChild(0))
 
     def visitText(self, ctx: OmegaConfGrammarParser.TextContext) -> Any:
-        # (interpolation | ESC | ESC_INTER | ANY_STR)+
+        # (interpolation | ANY_STR | ESC | ESC_INTER | TOP_ESC | QUOTED_ESC)+
 
         # Single interpolation? If yes, return its resolved value "as is".
         if ctx.getChildCount() == 1:
@@ -298,7 +298,7 @@ def visitText(self, ctx: OmegaConfGrammarParser.TextContext) -> Any:
                 return self.visitInterpolation(c)
 
         # Otherwise, concatenate string representations together.
-        return self._unescape(ctx.getChildren())
+        return self._unescape(list(ctx.getChildren()))
 
     def _createPrimitive(
         self,
@@ -336,11 +336,11 @@ def _createPrimitive(
                 raise AssertionError("WS should never be reached")
             assert False, symbol.type
         # Concatenation of multiple items ==> un-escape the concatenation.
-        return self._unescape(ctx.getChildren())
+        return self._unescape(list(ctx.getChildren()))
 
     def _unescape(
         self,
-        seq: Iterable[Union[TerminalNode, OmegaConfGrammarParser.InterpolationContext]],
+        seq: List[Union[TerminalNode, OmegaConfGrammarParser.InterpolationContext]],
     ) -> str:
         """
         Concatenate all symbols / interpolations in `seq`, unescaping symbols as needed.
@@ -350,19 +350,43 @@ def _unescape(
         resolving of the interpolation).
         """
         chrs = []
-        for node in seq:
+        for node, next_node in zip_longest(seq, seq[1:]):
             if isinstance(node, TerminalNode):
                 s = node.symbol
-                if s.type == OmegaConfGrammarLexer.ESC:
-                    chrs.append(s.text[1::2])
-                elif s.type == OmegaConfGrammarLexer.ESC_INTER:
+                if s.type == OmegaConfGrammarLexer.ESC_INTER:
                     # `ESC_INTER` is of the form `\\...\${`: the formula below computes
                     # the number of characters to keep at the end of the string to remove
                     # the correct number of backslashes.
-                    chrs.append(s.text[-(len(s.text) // 2 + 1) :])
+                    text = s.text[-(len(s.text) // 2 + 1) :]
+                elif (
+                    # Character sequence identified as requiring un-escaping.
+                    s.type == OmegaConfGrammarLexer.ESC
+                    or (
+                        # At top level, we need to un-escape backslashes that precede
+                        # an interpolation.
+                        s.type == OmegaConfGrammarLexer.TOP_ESC
+                        and isinstance(
+                            next_node, OmegaConfGrammarParser.InterpolationContext
+                        )
+                    )
+                    or (
+                        # In a quoted sring, we need to un-escape backslashes that
+                        # either end the string, or are followed by an interpolation.
+                        s.type == OmegaConfGrammarLexer.QUOTED_ESC
+                        and (
+                            next_node is None
+                            or isinstance(
+                                next_node, OmegaConfGrammarParser.InterpolationContext
+                            )
+                        )
+                    )
+                ):
+                    text = s.text[1::2]  # un-escape the sequence
                 else:
-                    chrs.append(s.text)
+                    text = s.text  # keep the original text
             else:
                 assert isinstance(node, OmegaConfGrammarParser.InterpolationContext)
-                chrs.append(str(self.visitInterpolation(node)))
+                text = str(self.visitInterpolation(node))
+            chrs.append(text)
+
         return "".join(chrs)