diff --git a/erpnext/tests/test_regional.py b/erpnext/tests/test_regional.py
new file mode 100644
index 00000000000..d2c96201a9a
--- /dev/null
+++ b/erpnext/tests/test_regional.py
@@ -0,0 +1,13 @@
+import unittest, frappe, erpnext
+
+@erpnext.regional
+def test_method():
+	return 'original'
+
+class TestInit(unittest.TestCase):
+	def test_regional_overrides(self):
+		frappe.flags.country = 'India'
+		self.assertEqual(test_method(), 'overridden')
+
+		frappe.flags.country = 'Nepal'
+		self.assertEqual(test_method(), 'original')
\ No newline at end of file