diff --git a/python/src/com/jetbrains/python/psi/impl/PyImportedModule.java b/python/src/com/jetbrains/python/psi/impl/PyImportedModule.java
index e64cae41f9c3..6805f7403f27 100644
--- a/python/src/com/jetbrains/python/psi/impl/PyImportedModule.java
+++ b/python/src/com/jetbrains/python/psi/impl/PyImportedModule.java
@@ -163,4 +163,8 @@ public class PyImportedModule extends LightElement implements NameDefiner {
   private PsiElement resolve(PyImportElement importElement, final PyQualifiedName prefix) {
     return PyUtil.turnDirIntoInit(ResolveImportUtil.resolveImportElement(importElement, prefix));
   }
+
+  public boolean isAncestorOf(PyImportedModule other) {
+    return PsiTreeUtil.isAncestor(myContainer, other.myContainer, true);
+  }
 }
diff --git a/python/src/com/jetbrains/python/psi/resolve/ResolveProcessor.java b/python/src/com/jetbrains/python/psi/resolve/ResolveProcessor.java
index 37ad76073779..96b1ba5942df 100644
--- a/python/src/com/jetbrains/python/psi/resolve/ResolveProcessor.java
+++ b/python/src/com/jetbrains/python/psi/resolve/ResolveProcessor.java
@@ -78,6 +78,12 @@ public class ResolveProcessor implements PyAsScopeProcessor {
       final NameDefiner definer = (NameDefiner)element;
       PsiElement by_name = definer.getElementNamed(myName);
       if (by_name != null) {
+        // prefer more specific imported modules to less specific ones
+        if (by_name instanceof PyImportedModule && myResult instanceof PyImportedModule &&
+            ((PyImportedModule)by_name).isAncestorOf((PyImportedModule)myResult)) {
+          return false;
+        }
+
         setResult(by_name);
         if (!PsiTreeUtil.isAncestor(element, by_name, true)) {
           addNameDefiner(definer);
diff --git a/python/testData/resolve/multiFile/localImport/LocalImport.py b/python/testData/resolve/multiFile/localImport/LocalImport.py
index 9852379debeb..cadaa6836b27 100644
--- a/python/testData/resolve/multiFile/localImport/LocalImport.py
+++ b/python/testData/resolve/multiFile/localImport/LocalImport.py
@@ -1,3 +1,5 @@
+import mypackage.goo
+
 def foo():
     import mypackage.bar
     mypackage.bar.dostuff()
diff --git a/python/testData/resolve/multiFile/localImport/mypackage/goo.py b/python/testData/resolve/multiFile/localImport/mypackage/goo.py
new file mode 100644
index 000000000000..e69de29bb2d1