diff --git a/micrometer-tracing-tests/micrometer-tracing-integration-test/src/test/java/io/micrometer/tracing/test/contextpropagation/AbstractObservationAwareSpanThreadLocalAccessorTests.java b/micrometer-tracing-tests/micrometer-tracing-integration-test/src/test/java/io/micrometer/tracing/test/contextpropagation/AbstractObservationAwareSpanThreadLocalAccessorTests.java
index d577d78e..d3b3a4a2 100644
--- a/micrometer-tracing-tests/micrometer-tracing-integration-test/src/test/java/io/micrometer/tracing/test/contextpropagation/AbstractObservationAwareSpanThreadLocalAccessorTests.java
+++ b/micrometer-tracing-tests/micrometer-tracing-integration-test/src/test/java/io/micrometer/tracing/test/contextpropagation/AbstractObservationAwareSpanThreadLocalAccessorTests.java
@@ -47,6 +47,7 @@
 import reactor.core.scheduler.Schedulers;
 import reactor.util.context.Context;
 
+import java.lang.reflect.Method;
 import java.util.Arrays;
 import java.util.List;
 import java.util.concurrent.*;
@@ -376,6 +377,26 @@ void onlyReactorPropagatesBaggageWithContextCaptureAndObservation() {
         assertThat(tenant).isEqualTo("tenantValue");
     }
 
+    @Test
+    void observationAwareBaggageThreadLocalAccessorSetsAndClosesBaggageToPropagate()
+            throws ReflectiveOperationException {
+        then(getTracer().currentTraceContext().context()).isNull();
+
+        Observation.createNotStarted("First span", observationRegistry).observeChecked(() -> {
+            then(getTracer().currentTraceContext().context()).isNotNull();
+
+            BaggageToPropagate baggageToPropagate = new BaggageToPropagate("tenant", "tenantValue", "tenant2",
+                    "tenant2Value");
+            observationAwareBaggageThreadLocalAccessor.setValue(baggageToPropagate);
+            Method closeCurrentScope = ObservationAwareBaggageThreadLocalAccessor.class
+                .getDeclaredMethod("closeCurrentScope");
+            closeCurrentScope.setAccessible(true);
+            return closeCurrentScope.invoke(observationAwareBaggageThreadLocalAccessor);
+        });
+
+        then(getTracer().currentTraceContext().context()).isNull();
+    }
+
     private String asyncCall() {
         logWithSpan("TASK EXECUTOR");
         if (getTracer().currentSpan() == null) {
diff --git a/micrometer-tracing/src/main/java/io/micrometer/tracing/contextpropagation/ObservationAwareBaggageThreadLocalAccessor.java b/micrometer-tracing/src/main/java/io/micrometer/tracing/contextpropagation/ObservationAwareBaggageThreadLocalAccessor.java
index a08fbe10..506f0a45 100644
--- a/micrometer-tracing/src/main/java/io/micrometer/tracing/contextpropagation/ObservationAwareBaggageThreadLocalAccessor.java
+++ b/micrometer-tracing/src/main/java/io/micrometer/tracing/contextpropagation/ObservationAwareBaggageThreadLocalAccessor.java
@@ -160,7 +160,7 @@ private static BaggageAndScope baggageScopeClosingScope(Entry<String, String> en
         if (scope == null) {
             return scopeClosingBaggageAndScope(entry, baggage);
         }
-        return scope.andThen(scopeClosingBaggageAndScope(entry, baggage));
+        return scopeClosingBaggageAndScope(entry, baggage).andThen(scope);
     }
 
     private static BaggageAndScope scopeClosingBaggageAndScope(Entry<String, String> entry, BaggageInScope baggage) {