diff --git a/server/modules/protocol/MySQL/MySQLClient/setsqlmodeparser.hh b/server/modules/protocol/MySQL/MySQLClient/setsqlmodeparser.hh
index 1595e7727..97afebdd7 100644
--- a/server/modules/protocol/MySQL/MySQLClient/setsqlmodeparser.hh
+++ b/server/modules/protocol/MySQL/MySQLClient/setsqlmodeparser.hh
@@ -588,6 +588,11 @@ private:
                 token = expect_token(MXS_CP_EXPECT_TOKEN("GLOBAL"), TK_GLOBAL);
                 break;
 
+            case 'l':
+            case 'L':
+                token = expect_token(MXS_CP_EXPECT_TOKEN("LOCAL"), TK_SESSION);
+                break;
+
             case 'o':
             case 'O':
                 token = expect_token(MXS_CP_EXPECT_TOKEN("ORACLE"), TK_ORACLE);
diff --git a/server/modules/protocol/MySQL/MySQLClient/test/test_setsqlmodeparser.cc b/server/modules/protocol/MySQL/MySQLClient/test/test_setsqlmodeparser.cc
index 6eac09cb6..33454a286 100644
--- a/server/modules/protocol/MySQL/MySQLClient/test/test_setsqlmodeparser.cc
+++ b/server/modules/protocol/MySQL/MySQLClient/test/test_setsqlmodeparser.cc
@@ -120,6 +120,21 @@ struct TEST_CASE
         P::IS_SET_SQL_MODE,
         P::ORACLE
     },
+    {
+        "SET GLOBAL SQL_MODE=ORACLE",
+        P::IS_SET_SQL_MODE,
+        P::ORACLE
+    },
+    {
+        "SET SESSION SQL_MODE=ORACLE",
+        P::IS_SET_SQL_MODE,
+        P::ORACLE
+    },
+    {
+        "SET LOCAL SQL_MODE=ORACLE",
+        P::IS_SET_SQL_MODE,
+        P::ORACLE
+    },
 };
 
 const int N_TEST_CASES = sizeof(test_cases)/sizeof(test_cases[0]);