diff --git a/ngraph/core/src/pass/constant_folding.cpp b/ngraph/core/src/pass/constant_folding.cpp
index 6bbeb759704..a09ecffb03b 100644
--- a/ngraph/core/src/pass/constant_folding.cpp
+++ b/ngraph/core/src/pass/constant_folding.cpp
@@ -27,20 +27,10 @@ bool ngraph::pass::ConstantFolding::run_on_function(std::shared_ptr<ngraph::Func
 {
     bool rewritten = false;
 
-    for (auto&& node : f->get_ordered_ops())
+    for (const auto& node : f->get_ordered_ops())
     {
         node->revalidate_and_infer_types();
 
-        // recursively constant fold operators containing subgraphs (ie: TensorIterator)
-        if (auto sub_graph_node = std::dynamic_pointer_cast<op::util::SubGraphOp>(node))
-        {
-            if (auto sub_graph = sub_graph_node->get_function())
-            {
-                rewritten |= run_on_function(sub_graph);
-                continue;
-            }
-        }
-
         OutputVector replacements(node->get_output_size());
         if (node->constant_fold(replacements, node->input_values()))
         {
@@ -72,6 +62,17 @@ bool ngraph::pass::ConstantFolding::run_on_function(std::shared_ptr<ngraph::Func
                 }
             }
         }
+        else
+        {
+            // recursively constant fold operators containing subgraphs (ie: TensorIterator, Loop)
+            if (auto sub_graph_node = std::dynamic_pointer_cast<op::util::SubGraphOp>(node))
+            {
+                if (const auto& sub_graph = sub_graph_node->get_function())
+                {
+                    rewritten |= run_on_function(sub_graph);
+                }
+            }
+        }
     }
 
     return rewritten;
diff --git a/ngraph/test/constant_folding.cpp b/ngraph/test/constant_folding.cpp
index ed315acac9e..3c039e372e1 100644
--- a/ngraph/test/constant_folding.cpp
+++ b/ngraph/test/constant_folding.cpp
@@ -17,6 +17,7 @@
 #include "gtest/gtest.h"
 
 #include "ngraph/ngraph.hpp"
+#include "ngraph/opsets/opset5.hpp"
 #include "ngraph/pass/constant_folding.hpp"
 #include "ngraph/pass/manager.hpp"
 #include "util/all_close_f.hpp"
@@ -3107,3 +3108,65 @@ TEST(constant_folding, disable_constant_folding)
     ASSERT_EQ(count_ops_of_type<op::v1::Reshape>(f), 1);
     ASSERT_EQ(count_ops_of_type<op::Constant>(f), 1);
 }
+
+TEST(constant_folding, constant_loop)
+{
+    auto X = make_shared<opset5::Constant>(
+        element::f32, Shape{2, 1, 3}, std::vector<int64_t>{0, 1, 2, 3, 4, 5});
+    auto Y =
+        make_shared<opset5::Constant>(element::f32, Shape{1, 1, 3}, std::vector<int64_t>{1, 2, 3});
+
+    // Body parameters
+    auto Xi = make_shared<opset5::Parameter>(element::f32, PartialShape::dynamic());
+    auto Yi = make_shared<opset5::Parameter>(element::f32, PartialShape::dynamic());
+    auto body_condition = std::make_shared<ngraph::opset5::Constant>(
+        ngraph::element::boolean, ngraph::Shape{1}, true);
+
+    auto trip_count =
+        std::make_shared<ngraph::opset5::Constant>(ngraph::element::i64, ngraph::Shape{1}, 2);
+    auto exec_condition = std::make_shared<ngraph::opset5::Constant>(
+        ngraph::element::boolean, ngraph::Shape{1}, true);
+    // Body
+    auto sum = make_shared<ngraph::opset5::Add>(Xi, Yi);
+    auto body =
+        make_shared<ngraph::Function>(OutputVector{body_condition, sum}, ParameterVector{Xi, Yi});
+    auto loop = make_shared<opset5::Loop>(trip_count, exec_condition);
+    loop->set_function(body);
+    loop->set_special_body_ports(ngraph::opset5::Loop::SpecialBodyPorts{-1, 0});
+
+    loop->set_sliced_input(Xi, X, 0, 1, 1, -1, 0);
+    loop->set_invariant_input(Yi, Y);
+
+    auto out0 = loop->get_iter_value(sum, -1);
+    auto out1 = loop->get_concatenated_slices(sum, 0, 1, 1, -1, 0);
+
+    auto result0 = make_shared<opset5::Result>(out0);
+    auto result1 = make_shared<opset5::Result>(out1);
+
+    auto results = ResultVector{result0, result1};
+    auto f = make_shared<Function>(results, ParameterVector{});
+
+    pass::Manager pass_manager;
+    pass_manager.register_pass<pass::ConstantFolding>();
+    pass_manager.run_passes(f);
+
+    ASSERT_EQ(count_ops_of_type<ngraph::opset5::Loop>(f), 0);
+    ASSERT_EQ(count_ops_of_type<ngraph::opset5::Constant>(f), 2);
+
+    auto result_node_0 =
+        as_type_ptr<op::Constant>(f->get_results().at(0)->input_value(0).get_node_shared_ptr());
+    auto result_node_1 =
+        as_type_ptr<op::Constant>(f->get_results().at(1)->input_value(0).get_node_shared_ptr());
+    ASSERT_TRUE(result_node_0);
+    ASSERT_TRUE(result_node_1);
+
+    const ngraph::Shape shape_0{1, 1, 3};
+    const ngraph::Shape shape_1{2, 1, 3};
+
+    ASSERT_EQ(shape_0, result_node_0->get_output_shape(0));
+    ASSERT_EQ(shape_1, result_node_1->get_output_shape(0));
+    std::vector<float> expected_0{4, 6, 8};
+    std::vector<float> expected_1{1, 3, 5, 4, 6, 8};
+    range_test_check(result_node_0->cast_vector<float>(), expected_0);
+    range_test_check(result_node_1->cast_vector<float>(), expected_1);
+}