diff --git a/lib/mp-readline/readline.c b/lib/mp-readline/readline.c
index 432413d501..95a810e839 100644
--- a/lib/mp-readline/readline.c
+++ b/lib/mp-readline/readline.c
@@ -100,6 +100,7 @@ STATIC readline_t rl;
 
 int readline_process_char(int c) {
     size_t last_line_len = rl.line->len;
+    int cont_chars = 0;
     int redraw_step_back = 0;
     bool redraw_from_cursor = false;
     int redraw_step_forward = 0;
@@ -178,6 +179,13 @@ int readline_process_char(int c) {
                 int nspace = 1;
                 #endif
 
+                // Check if we have moved into a UTF-8 continuation byte
+                while (UTF8_IS_CONT(rl.line->buf[rl.cursor_pos-nspace]) &&
+                        rl.cursor_pos-nspace > rl.orig_line_len) {
+                    nspace++;
+                    cont_chars++;
+                }
+
                 // do the backspace
                 vstr_cut_out_bytes(rl.line, rl.cursor_pos - nspace, nspace);
                 // set redraw parameters
@@ -206,12 +214,37 @@ int readline_process_char(int c) {
                 redraw_step_forward = compl_len;
             }
         #endif
-         } else if (32 <= c ) {
+        } else if (32 <= c && c <= 126) {
             // printable character
             vstr_ins_char(rl.line, rl.cursor_pos, c);
             // set redraw parameters
             redraw_from_cursor = true;
             redraw_step_forward = 1;
+        }else if (c >= 128) {
+            // utf-8 character
+            if (c >= 0xc0 && c < 0xf8) {
+                // First Code Point
+                vstr_ins_char(rl.line, rl.cursor_pos, c);
+            }else if (UTF8_IS_CONT(c)) {
+                char fcp = rl.line->buf[rl.cursor_pos];
+                if (fcp >= 0xc0 && fcp < 0xf8) {
+                    int need = (0xe5 >> ((fcp >> 3) & 0x6)) & 3; // From unicode.c L195
+                    cont_chars++;
+                    while (UTF8_IS_CONT(rl.line->buf[rl.cursor_pos+cont_chars]) &&
+                            rl.cursor_pos+cont_chars < rl.line->len && cont_chars < need) {
+                        cont_chars++;
+                    }
+                    vstr_ins_char(rl.line, rl.cursor_pos+cont_chars, c);
+                    if (cont_chars == need) {
+                        redraw_from_cursor = true;
+                        redraw_step_forward = cont_chars+1;
+                    }
+                }else{
+                    //ignore, for now (invalid first code point)
+                }
+            }else {
+                // ignore, invalid
+            }
         }
     } else if (rl.escape_seq == ESEQ_ESC) {
         switch (c) {
@@ -237,6 +270,12 @@ up_arrow_key:
 #endif
                 // up arrow
                 if (rl.hist_cur + 1 < (int)READLINE_HIST_SIZE && MP_STATE_PORT(readline_hist)[rl.hist_cur + 1] != NULL) {
+                    for (char *ch = rl.line->buf+rl.cursor_pos-1; ch > rl.line->buf+rl.orig_line_len; ch--) {
+                        // printf("char: %d\n", ch);
+                        if (UTF8_IS_CONT(*ch)) {
+                            cont_chars++;
+                        }
+                    }
                     // increase hist num
                     rl.hist_cur += 1;
                     // set line to history
@@ -253,6 +292,12 @@ down_arrow_key:
 #endif
                 // down arrow
                 if (rl.hist_cur >= 0) {
+                    for (char *ch = rl.line->buf+rl.cursor_pos-1; ch > rl.line->buf+rl.orig_line_len; ch--) {
+                        // printf("char: %d\n", ch);
+                        if (UTF8_IS_CONT(*ch)) {
+                            cont_chars++;
+                        }
+                    }
                     // decrease hist num
                     rl.hist_cur -= 1;
                     // set line to history
@@ -272,6 +317,12 @@ right_arrow_key:
                 // right arrow
                 if (rl.cursor_pos < rl.line->len) {
                     redraw_step_forward = 1;
+                    // Check if we have moved into a UTF-8 continuation byte
+                    while (UTF8_IS_CONT(rl.line->buf[rl.cursor_pos+redraw_step_forward]) &&
+                            rl.cursor_pos+redraw_step_forward < rl.line->len) {
+                        redraw_step_forward++;
+                        cont_chars++;
+                    }
                 }
             } else if (c == 'D') {
 #if MICROPY_REPL_EMACS_KEYS
@@ -280,6 +331,12 @@ left_arrow_key:
                 // left arrow
                 if (rl.cursor_pos > rl.orig_line_len) {
                     redraw_step_back = 1;
+                    // Check if we have moved into a UTF-8 continuation byte
+                    while (UTF8_IS_CONT(rl.line->buf[rl.cursor_pos-redraw_step_back]) &&
+                            rl.cursor_pos-redraw_step_back > rl.orig_line_len) {
+                        redraw_step_back++;
+                        cont_chars++;
+                    }
                 }
             } else if (c == 'H') {
                 // home
@@ -295,9 +352,21 @@ left_arrow_key:
         if (c == '~') {
             if (rl.escape_seq_buf[0] == '1' || rl.escape_seq_buf[0] == '7') {
 home_key:
+                for (char *ch = rl.line->buf+rl.cursor_pos-1; ch > rl.line->buf+rl.orig_line_len; ch--) {
+                    // printf("char: %d\n", ch);
+                    if (UTF8_IS_CONT(*ch)) {
+                        cont_chars++;
+                    }
+                }
                 redraw_step_back = rl.cursor_pos - rl.orig_line_len;
             } else if (rl.escape_seq_buf[0] == '4' || rl.escape_seq_buf[0] == '8') {
 end_key:
+                for (char *ch = rl.line->buf+rl.cursor_pos-1; ch > rl.line->buf+rl.orig_line_len; ch--) {
+                    // printf("char: %d\n", ch);
+                    if (UTF8_IS_CONT(*ch)) {
+                        cont_chars++;
+                    }
+                }
                 redraw_step_forward = rl.line->len - rl.cursor_pos;
             } else if (rl.escape_seq_buf[0] == '3') {
                 // delete
@@ -331,7 +400,7 @@ delete_key:
 
     // redraw command prompt, efficiently
     if (redraw_step_back > 0) {
-        mp_hal_move_cursor_back(redraw_step_back);
+        mp_hal_move_cursor_back(redraw_step_back-cont_chars);
         rl.cursor_pos -= redraw_step_back;
     }
     if (redraw_from_cursor) {
@@ -339,10 +408,24 @@ delete_key:
             // erase old chars
             mp_hal_erase_line_from_cursor(last_line_len - rl.cursor_pos);
         }
+        // Check if we have moved into a UTF-8 continuation byte
+        // while (rl.cursor_pos+redraw_step_forward < rl.line->len &&
+        //         UTF8_IS_CONT(rl.line->buf[rl.cursor_pos]) && rl.cursor_pos > 0) {
+        //     rl.cursor_pos--;
+        //     redraw_step_forward++;
+        // }
+
+        cont_chars = 0;
+        for (char *ch = rl.line->buf+rl.cursor_pos+redraw_step_forward; ch < rl.line->buf+rl.line->len; ch++) {
+            // printf("char: %d\n", ch);
+            if (UTF8_IS_CONT(*ch)) {
+                cont_chars++;
+            }
+        }
         // draw new chars
         mp_hal_stdout_tx_strn(rl.line->buf + rl.cursor_pos, rl.line->len - rl.cursor_pos);
         // move cursor forward if needed (already moved forward by length of line, so move it back)
-        mp_hal_move_cursor_back(rl.line->len - (rl.cursor_pos + redraw_step_forward));
+        mp_hal_move_cursor_back(rl.line->len - (rl.cursor_pos + redraw_step_forward) - cont_chars);
         rl.cursor_pos += redraw_step_forward;
     } else if (redraw_step_forward > 0) {
         // draw over old chars to move cursor forwards