diff --git a/xinclude.c b/xinclude.c
index 31ea026..2310601 100644
--- a/xinclude.c
+++ b/xinclude.c
@@ -516,9 +516,8 @@
 	href = xmlStrdup(BAD_CAST ""); /* @@@@ href is now optional */
 	if (href == NULL) 
 	    return(-1);
-	local = 1;
     }
-    if (href[0] == '#')
+    if ((href[0] == '#') || (href[0] == 0))
 	local = 1;
     parse = xmlXIncludeGetProp(ctxt, cur, XINCLUDE_PARSE);
     if (parse != NULL) {
@@ -617,6 +616,19 @@
     }
 
     /*
+     * If local and xml then we need a fragment
+     */
+    if ((local == 1) && (xml == 1) &&
+        ((fragment == NULL) || (fragment[0] == 0))) {
+	xmlXIncludeErr(ctxt, cur, XML_XINCLUDE_RECURSION,
+	               "detected a local recursion with no xpointer in %s\n",
+		       URL);
+	if (fragment != NULL)
+	    xmlFree(fragment);
+	return(-1);
+    }
+
+    /*
      * Check the URL against the stack for recursions
      */
     if ((!local) && (xml == 1)) {