diff --git a/interp/interp_test.go b/interp/interp_test.go
index 3e60147a..4c1cb3e2 100644
--- a/interp/interp_test.go
+++ b/interp/interp_test.go
@@ -84,6 +84,27 @@ NR==3, NR==5 { print NR }
 		{`BEGIN { a["x"] = 3; a["y"] = 4; for (k in a) x += a[k]; print x }`, "", "7\n", "", ""},
 		{`BEGIN { while (i < 5) { print i; i++ } }`, "", "\n1\n2\n3\n4\n", "", ""},
 		{`BEGIN { do { print i; i++ } while (i < 5) }`, "", "\n1\n2\n3\n4\n", "", ""},
+		// regression tests for break and continue with nested loops
+		{`
+BEGIN {
+	for (i = 0; i < 1; i++) {
+		for (j = 0; j < 1; j++) {
+			print i, j
+		}
+		break
+	}
+}
+`, "", "0 0\n", "", ""},
+		{`
+BEGIN {
+	for (i = 0; i < 1; i++) {
+		for (j = 0; j < 1; j++) {
+			print i, j
+		}
+		continue
+	}
+}
+`, "", "0 0\n", "", ""},
 
 		// Arrays, "in", and delete
 		{`BEGIN { a["x"] = 3; print "x" in a, "y" in a }`, "", "1 0\n", "", ""},
diff --git a/parser/parser.go b/parser/parser.go
index 93dc180b..71d16cf3 100644
--- a/parser/parser.go
+++ b/parser/parser.go
@@ -64,7 +64,7 @@ type parser struct {
 	tok         Token
 	val         string
 	progState   progState
-	inLoop      bool
+	loopCount   int
 	inFunction  bool
 	arrayParams map[string]bool
 }
@@ -274,13 +274,13 @@ func (p *parser) stmt() Stmt {
 		p.expect(RPAREN)
 		s = &DoWhileStmt{body, cond}
 	case BREAK:
-		if !p.inLoop {
+		if p.loopCount == 0 {
 			panic(p.error("break must be inside a loop body"))
 		}
 		p.next()
 		s = &BreakStmt{}
 	case CONTINUE:
-		if !p.inLoop {
+		if p.loopCount == 0 {
 			panic(p.error("continue must be inside a loop body"))
 		}
 		p.next()
@@ -318,9 +318,9 @@ func (p *parser) stmt() Stmt {
 }
 
 func (p *parser) loopStmts() Stmts {
-	p.inLoop = true
+	p.loopCount++
 	ss := p.stmts()
-	p.inLoop = false
+	p.loopCount--
 	return ss
 }