diff --git a/apidom/packages/apidom-reference/src/dereference/strategies/openapi-3-1/visitor.ts b/apidom/packages/apidom-reference/src/dereference/strategies/openapi-3-1/visitor.ts
index 486848fc56..2c4d0142c6 100644
--- a/apidom/packages/apidom-reference/src/dereference/strategies/openapi-3-1/visitor.ts
+++ b/apidom/packages/apidom-reference/src/dereference/strategies/openapi-3-1/visitor.ts
@@ -337,8 +337,7 @@ const OpenApi3_1DereferenceVisitor = stampit({
       }
 
       // compute baseURI using rules around $id and $ref keywords
-      const base$idURI = resolveInherited$id(referencingElement);
-      const baseURI = this.toBaseURI(base$idURI);
+      const baseURI = resolveInherited$id(this.reference.uri, referencingElement);
       const file = File({ uri: baseURI });
       const isUnknownURI = none((r: IResolver) => r.canRead(file), this.options.resolve.resolvers);
       const isExternal = this.reference.uri !== baseURI && !isUnknownURI;
@@ -352,7 +351,7 @@ const OpenApi3_1DereferenceVisitor = stampit({
       }
 
       // compute Reference object
-      const reference = isUnknownURI ? this.reference : await this.toReference(base$idURI);
+      const reference = isUnknownURI ? this.reference : await this.toReference(baseURI);
 
       this.indirections.push(referencingElement);
 
diff --git a/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/util.ts b/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/util.ts
index 235eaf119a..59397f0574 100644
--- a/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/util.ts
+++ b/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/util.ts
@@ -1,4 +1,4 @@
-import { reduceRight } from 'ramda';
+import { reduce } from 'ramda';
 import { Element } from 'apidom';
 import { SchemaElement } from 'apidom-ns-openapi-3-1';
 
@@ -8,19 +8,22 @@ import * as url from '../../../util/url';
  * Folding of inherited$id list from right to left using
  * URL resolving mechanism.
  */
-export const resolveInherited$id = (schemaElement: SchemaElement) =>
-  reduceRight(
-    ($id: string, acc: string): string => {
+export const resolveInherited$id = (baseURI: string, schemaElement: SchemaElement) => {
+  const inherited$id = schemaElement.meta.get('inherited$id').toValue();
+
+  return reduce(
+    (acc: string, $id: string): string => {
       const uriWithoutHash = url.stripHash($id);
       const sanitizedURI = url.isFileSystemPath(uriWithoutHash)
         ? url.fromFileSystemPath(uriWithoutHash)
         : uriWithoutHash;
 
-      return url.resolve(sanitizedURI, acc);
+      return url.resolve(acc, sanitizedURI);
     },
-    schemaElement.$ref?.toValue(),
-    schemaElement.meta.get('inherited$id').toValue(),
+    baseURI,
+    [...inherited$id, schemaElement.$ref?.toValue()],
   );
+};
 
 /**
  * Cached version of SchemaElement.refract.
diff --git a/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/visitor.ts b/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/visitor.ts
index 85a99ea5aa..fe9680c81b 100644
--- a/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/visitor.ts
+++ b/apidom/packages/apidom-reference/src/resolve/strategies/openapi-3-1/visitor.ts
@@ -209,8 +209,7 @@ const OpenApi3_1ResolveVisitor = stampit({
       }
 
       // compute Reference object using rules around $id and $ref keywords
-      const base$idURI = resolveInherited$id(schemaElement);
-      const baseURI = this.toBaseURI(base$idURI);
+      const baseURI = resolveInherited$id(this.reference.uri, schemaElement);
       const file = File({ uri: baseURI });
       const isUnknownURI = none((r: IResolver) => r.canRead(file), this.options.resolve.resolvers);
       const isExternal = this.reference.uri !== baseURI && !isUnknownURI;
@@ -224,7 +223,7 @@ const OpenApi3_1ResolveVisitor = stampit({
       }
 
       if (!has(baseURI, this.crawlingMap)) {
-        this.crawlingMap[baseURI] = isUnknownURI ? this.reference : this.toReference(base$idURI);
+        this.crawlingMap[baseURI] = isUnknownURI ? this.reference : this.toReference(baseURI);
       }
       this.crawledElements.push(schemaElement);
 
@@ -325,7 +324,7 @@ const OpenApi3_1ResolveVisitor = stampit({
 
     async crawlSchemaElement(referencingElement: SchemaElement) {
       // compute Reference object using rules around $id and $ref keywords
-      const base$idURI = resolveInherited$id(referencingElement);
+      const base$idURI = resolveInherited$id(this.reference.uri, referencingElement);
       const baseURI = this.toBaseURI(base$idURI);
       const file = File({ uri: baseURI });
       const isUnknownURI = none((r: IResolver) => r.canRead(file), this.options.resolve.resolvers);