diff --git a/src/xenconfig/xen_common.c b/src/xenconfig/xen_common.c
index 54f5791905..7cc8639977 100644
--- a/src/xenconfig/xen_common.c
+++ b/src/xenconfig/xen_common.c
@@ -819,6 +819,7 @@ xenParseVif(virConfPtr conf, virDomainDefPtr def)
             char mac[18];
             char bridge[50];
             char vifname[50];
+            char rate[50];
             char *key;
 
             bridge[0] = '\0';
@@ -827,6 +828,7 @@ xenParseVif(virConfPtr conf, virDomainDefPtr def)
             model[0] = '\0';
             type[0] = '\0';
             vifname[0] = '\0';
+            rate[0] = '\0';
 
             if ((list->type != VIR_CONF_STRING) || (list->str == NULL))
                 goto skipnic;
@@ -892,6 +894,13 @@ xenParseVif(virConfPtr conf, virDomainDefPtr def)
                                        _("IP %s too big for destination"), data);
                         goto skipnic;
                     }
+                } else if (STRPREFIX(key, "rate=")) {
+                    int len = nextkey ? (nextkey - data) : sizeof(rate) - 1;
+                    if (virStrncpy(rate, data, len, sizeof(rate)) == NULL) {
+                        virReportError(VIR_ERR_INTERNAL_ERROR,
+                                       _("rate %s too big for destination"), data);
+                        goto skipnic;
+                    }
                 }
 
                 while (nextkey && (nextkey[0] == ',' ||
@@ -942,6 +951,24 @@ xenParseVif(virConfPtr conf, virDomainDefPtr def)
                 VIR_STRDUP(net->ifname, vifname) < 0)
                 goto cleanup;
 
+            if (rate[0]) {
+                virNetDevBandwidthPtr bandwidth;
+                unsigned long long kbytes_per_sec;
+
+                if (xenParseSxprVifRate(rate, &kbytes_per_sec) < 0)
+                    goto cleanup;
+
+                if (VIR_ALLOC(bandwidth) < 0)
+                    goto cleanup;
+                if (VIR_ALLOC(bandwidth->out) < 0) {
+                    VIR_FREE(bandwidth);
+                    goto cleanup;
+                }
+
+                bandwidth->out->average = kbytes_per_sec;
+                net->bandwidth = bandwidth;
+            }
+
             if (VIR_APPEND_ELEMENT(def->nets, def->nnets, net) < 0)
                 goto cleanup;
 
@@ -1184,6 +1211,9 @@ xenFormatNet(virConnectPtr conn,
         virBufferAsprintf(&buf, ",vifname=%s",
                           net->ifname);
 
+    if (net->bandwidth && net->bandwidth->out && net->bandwidth->out->average)
+        virBufferAsprintf(&buf, ",rate=%lluKB/s", net->bandwidth->out->average);
+
     if (virBufferCheckError(&buf) < 0)
         goto cleanup;
 
diff --git a/tests/xlconfigdata/test-vif-rate.cfg b/tests/xlconfigdata/test-vif-rate.cfg
new file mode 100644
index 0000000000..c5484dc50f
--- /dev/null
+++ b/tests/xlconfigdata/test-vif-rate.cfg
@@ -0,0 +1,26 @@
+name = "XenGuest2"
+uuid = "c7a5fdb2-cdaf-9455-926a-d65c16db1809"
+maxmem = 579
+memory = 394
+vcpus = 1
+pae = 1
+acpi = 1
+apic = 1
+hap = 0
+viridian = 0
+rtc_timeoffset = 0
+localtime = 0
+on_poweroff = "destroy"
+on_reboot = "restart"
+on_crash = "restart"
+device_model = "/usr/lib/xen/bin/qemu-dm"
+sdl = 0
+vnc = 1
+vncunused = 1
+vnclisten = "127.0.0.1"
+vif = [ "mac=00:16:3e:66:92:9c,bridge=xenbr1,script=vif-bridge,model=e1000,rate=10240KB/s" ]
+parallel = "none"
+serial = "none"
+builder = "hvm"
+boot = "d"
+disk = [ "/dev/HostVG/XenGuest2,raw,hda,w,backendtype=phy", "/var/lib/libvirt/images/XenGuest2-home,qcow2,hdb,w,backendtype=qdisk", "/root/boot.iso,raw,hdc,r,backendtype=qdisk,devtype=cdrom" ]
diff --git a/tests/xlconfigdata/test-vif-rate.xml b/tests/xlconfigdata/test-vif-rate.xml
new file mode 100644
index 0000000000..29f0f79e26
--- /dev/null
+++ b/tests/xlconfigdata/test-vif-rate.xml
@@ -0,0 +1,57 @@
+<domain type='xen'>
+  <name>XenGuest2</name>
+  <uuid>c7a5fdb2-cdaf-9455-926a-d65c16db1809</uuid>
+  <memory unit='KiB'>592896</memory>
+  <currentMemory unit='KiB'>403456</currentMemory>
+  <vcpu placement='static'>1</vcpu>
+  <os>
+    <type arch='x86_64' machine='xenfv'>hvm</type>
+    <loader type='rom'>/usr/lib/xen/boot/hvmloader</loader>
+    <boot dev='cdrom'/>
+  </os>
+  <features>
+    <acpi/>
+    <apic/>
+    <pae/>
+  </features>
+  <clock offset='variable' adjustment='0' basis='utc'/>
+  <on_poweroff>destroy</on_poweroff>
+  <on_reboot>restart</on_reboot>
+  <on_crash>restart</on_crash>
+  <devices>
+    <emulator>/usr/lib/xen/bin/qemu-dm</emulator>
+    <disk type='block' device='disk'>
+      <driver name='phy' type='raw'/>
+      <source dev='/dev/HostVG/XenGuest2'/>
+      <target dev='hda' bus='ide'/>
+      <address type='drive' controller='0' bus='0' target='0' unit='0'/>
+    </disk>
+    <disk type='file' device='disk'>
+      <driver name='qemu' type='qcow2'/>
+      <source file='/var/lib/libvirt/images/XenGuest2-home'/>
+      <target dev='hdb' bus='ide'/>
+      <address type='drive' controller='0' bus='0' target='0' unit='1'/>
+    </disk>
+    <disk type='file' device='cdrom'>
+      <driver name='qemu' type='raw'/>
+      <source file='/root/boot.iso'/>
+      <target dev='hdc' bus='ide'/>
+      <readonly/>
+      <address type='drive' controller='0' bus='1' target='0' unit='0'/>
+    </disk>
+    <interface type='bridge'>
+      <mac address='00:16:3e:66:92:9c'/>
+      <source bridge='xenbr1'/>
+      <bandwidth>
+        <outbound average='10240'/>
+      </bandwidth>
+      <script path='vif-bridge'/>
+      <model type='e1000'/>
+    </interface>
+    <input type='mouse' bus='ps2'/>
+    <input type='keyboard' bus='ps2'/>
+    <graphics type='vnc' port='-1' autoport='yes' listen='127.0.0.1'>
+      <listen type='address' address='127.0.0.1'/>
+    </graphics>
+  </devices>
+</domain>
diff --git a/tests/xlconfigtest.c b/tests/xlconfigtest.c
index 1db11e74e7..e99700909c 100644
--- a/tests/xlconfigtest.c
+++ b/tests/xlconfigtest.c
@@ -196,6 +196,7 @@ mymain(void)
     DO_TEST("new-disk");
     DO_TEST("spice");
     DO_TEST("spice-features");
+    DO_TEST("vif-rate");
 
 #ifdef LIBXL_HAVE_BUILDINFO_USBDEVICE_LIST
     DO_TEST("fullvirt-multiusb");