diff --git a/Changelog b/Changelog
index c175f1c0..a4d4a8b3 100644
--- a/Changelog
+++ b/Changelog
@@ -1,3 +1,4 @@
+- Patch to allow gpg to create user keys dir.
 - Patch to support kvmfs from Dan Walsh.
 - Patch for misc fixes in sudo from Dan Walsh.
 - Patch to fix netlabel recvfrom MLS constraint from Paul Moore.
diff --git a/policy/modules/apps/gpg.if b/policy/modules/apps/gpg.if
index e3fbe91c..07a4cbb3 100644
--- a/policy/modules/apps/gpg.if
+++ b/policy/modules/apps/gpg.if
@@ -89,6 +89,8 @@ template(`gpg_per_role_template',`
 
 	manage_files_pattern($1_gpg_t,$1_gpg_secret_t,$1_gpg_secret_t)
 	manage_lnk_files_pattern($1_gpg_t,$1_gpg_secret_t,$1_gpg_secret_t)
+	allow $1_gpg_t $1_gpg_secret_t:dir create_dir_perms;
+ 	userdom_user_home_dir_filetrans($1, $1_gpg_t, $1_gpg_secret_t, dir)
 
 	# transition from the userdomain to the derived domain
 	domtrans_pattern($2,gpg_exec_t,$1_gpg_t)
diff --git a/policy/modules/apps/gpg.te b/policy/modules/apps/gpg.te
index 2fadaf16..32f798d9 100644
--- a/policy/modules/apps/gpg.te
+++ b/policy/modules/apps/gpg.te
@@ -1,5 +1,5 @@
 
-policy_module(gpg, 1.1.0)
+policy_module(gpg, 1.1.1)
 
 ########################################
 #