diff --git a/hypervisor/include/public/acrn_common.h b/hypervisor/include/public/acrn_common.h
index 6bed48b91..6e1de55b7 100644
--- a/hypervisor/include/public/acrn_common.h
+++ b/hypervisor/include/public/acrn_common.h
@@ -52,6 +52,7 @@
 #define GUEST_FLAG_IO_COMPLETION_POLLING	(1UL << 2U)  	/* Whether need hypervisor poll IO completion */
 #define GUEST_FLAG_HIDE_MTRR			(1UL << 3U)  	/* Whether hide MTRR from VM */
 #define GUEST_FLAG_RT				(1UL << 4U)     /* Whether the vm is RT-VM */
+#define GUEST_FLAG_NVMX_ENABLED			(1UL << 5U)	/* Whether this VM supports nested virtualization */
 
 /* TODO: We may need to get this addr from guest ACPI instead of hardcode here */
 #define VIRTUAL_SLEEP_CTL_ADDR		0x400U /* Pre-launched VM uses ACPI reduced HW mode and sleep control register */
diff --git a/misc/config_tools/schema/VMtypes.xsd b/misc/config_tools/schema/VMtypes.xsd
index 329d5ba26..7b9046cd7 100644
--- a/misc/config_tools/schema/VMtypes.xsd
+++ b/misc/config_tools/schema/VMtypes.xsd
@@ -36,7 +36,8 @@
 - ``GUEST_FLAG_IO_COMPLETION_POLLING`` specify that the hypervisor needs
   IO polling to completion
 - ``GUEST_FLAG_HIDE_MTRR`` specify that MTRR is hidden from the VM
-- ``GUEST_FLAG_RT`` specify that the VM is an RT-VM (real-time)</xs:documentation>
+- ``GUEST_FLAG_RT`` specify that the VM is an RT-VM (real-time)
+- ``GUEST_FLAG_NVMX_ENABLED`` specify that the VM supports nested virtualization</xs:documentation>
   </xs:annotation>
   <xs:restriction base="xs:string">
     <xs:enumeration value="" />
@@ -47,6 +48,7 @@
     <xs:enumeration value="GUEST_FLAG_IO_COMPLETION_POLLING" />
     <xs:enumeration value="GUEST_FLAG_HIDE_MTRR" />
     <xs:enumeration value="GUEST_FLAG_RT" />
+    <xs:enumeration value="GUEST_FLAG_NVMX_ENABLED" />
   </xs:restriction>
 </xs:simpleType>
 
diff --git a/misc/config_tools/schema/config.xsd b/misc/config_tools/schema/config.xsd
index 0779b7372..778098e7c 100644
--- a/misc/config_tools/schema/config.xsd
+++ b/misc/config_tools/schema/config.xsd
@@ -123,6 +123,11 @@ support RDT or CDP, setting this option to ``y`` is ignored.</xs:documentation>
         <xs:documentation>Enable Hyper-V.</xs:documentation>
       </xs:annotation>
     </xs:element>
+    <xs:element name="NVMX_ENABLED" type="Boolean" default="n">
+      <xs:annotation>
+        <xs:documentation>Enable nested virtualization.</xs:documentation>
+      </xs:annotation>
+    </xs:element>
     <xs:element name="IOMMU_ENFORCE_SNP" type="Boolean" default="n">
       <xs:annotation>
         <xs:documentation>Specify if the IOMMU enforces snoop behavior
@@ -158,6 +163,7 @@ Machine Check Error on Page Size Change.</xs:documentation>
     </xs:element>
   </xs:all>
   <xs:assert test="not (RDT/RDT_ENABLED = 'y' and PSRAM/PSRAM_ENABLED = 'y')"/>
+  <xs:assert test="not (NVMX_ENABLED = 'y' and not (SCHEDULER = 'SCHED_NOOP'))"/>
 </xs:complexType>
 
 <xs:complexType name="MemoryOptionsType">
diff --git a/misc/config_tools/xforms/config_common.xsl b/misc/config_tools/xforms/config_common.xsl
index 487437a7e..a6057ed9e 100644
--- a/misc/config_tools/xforms/config_common.xsl
+++ b/misc/config_tools/xforms/config_common.xsl
@@ -95,6 +95,10 @@
       <xsl:with-param name="key" select="'HYPERV_ENABLED'" />
     </xsl:call-template>
 
+    <xsl:call-template name="boolean-by-key">
+      <xsl:with-param name="key" select="'NVMX_ENABLED'" />
+    </xsl:call-template>
+
     <xsl:call-template name="boolean-by-key">
       <xsl:with-param name="key" select="'ACPI_PARSE_ENABLED'" />
     </xsl:call-template>