diff --git a/examples/add_atom_fun_space.metta b/examples/add_atom_fun_space.metta
new file mode 100644
index 00000000..c3e267f3
--- /dev/null
+++ b/examples/add_atom_fun_space.metta
@@ -0,0 +1,6 @@
+
+
+(= (space) my_space_name)
+
+!(add-atom (space) (my test atom))
+!(test (match (space) $a $a) (my test atom))
diff --git a/python/tests/test_petta.py b/python/tests/test_petta.py
index 68f77e9a..f80d9699 100644
--- a/python/tests/test_petta.py
+++ b/python/tests/test_petta.py
@@ -27,3 +27,20 @@ def test_var_out(petta_instance):
     assert (
         var == '$b' or (var.startswith('$_') and var[2:].isdigit())
     ), f"Unexpected variable name '{var}' in result '{result}'"
+
+def test_nested_relative_imports_use_importer_directory(petta_instance, tmp_path):
+    main_dir = tmp_path / "main"
+    libs_dir = tmp_path / "libs"
+    main_dir.mkdir()
+    libs_dir.mkdir()
+
+    root_file = main_dir / "root.metta"
+    parent_file = libs_dir / "parent.metta"
+    sibling_file = libs_dir / "sibling.metta"
+
+    root_file.write_text("!(import! &self ../libs/parent)\n!(from-sibling)\n")
+    parent_file.write_text("!(import! &self sibling)\n")
+    sibling_file.write_text("(= (from-sibling) 42)\n")
+
+    results = petta_instance.load_metta_file(str(root_file))
+    assert any(result == "42" for result in results), f"Expected sibling import to resolve; got {results}"
diff --git a/src/filereader.pl b/src/filereader.pl
index 2305a856..fcfc891c 100644
--- a/src/filereader.pl
+++ b/src/filereader.pl
@@ -2,11 +2,23 @@
 :- use_module(library(pcre)). % re_replace/4
 :- current_prolog_flag(argv, Args), ( (memberchk(silent, Args) ; memberchk('--silent', Args) ; memberchk('-s', Args))
                                       -> assertz(silent(true)) ; assertz(silent(false)) ).
+:- dynamic working_dir/1.
+
+push_working_dir(Filename) :- file_directory_name(Filename, Dir0),
+                              ( absolute_file_name(Dir0, Dir, [file_type(directory), file_errors(fail)])
+                                -> true
+                                 ; Dir = Dir0 ),
+                              asserta(working_dir(Dir)).
+
+pop_working_dir :- retract(working_dir(_)), !.
+pop_working_dir.
 
 %Read Filename into string S and process it (S holds MeTTa code):
 load_metta_file(Filename, Results) :- load_metta_file(Filename, Results, '&self').
-load_metta_file(Filename, Results, Space) :- read_file_to_string(Filename, S, []),
-                                             process_metta_string(S, Results, Space).
+load_metta_file(Filename, Results, Space) :- setup_call_cleanup(push_working_dir(Filename),
+                                                                ( read_file_to_string(Filename, S, []),
+                                                                  process_metta_string(S, Results, Space) ),
+                                                                pop_working_dir).
 
 %Extract function definitions, call invocations, and S-expressions part of &self space:
 process_metta_string(S, Results) :- process_metta_string(S, Results, '&self').
diff --git a/src/translator.pl b/src/translator.pl
index 4e1985f9..47ad4f14 100644
--- a/src/translator.pl
+++ b/src/translator.pl
@@ -246,9 +246,10 @@
                                            ( FreeVars == [] -> Out = F
                                                              ; Out = partial(F, FreeVars) )
         %--- Spaces ---:
-        ; ( HV == 'add-atom' ; HV == 'remove-atom' ), T = [_,_] -> append(T, [Out], RawArgs),
-                                                                   Goal =.. [HV|RawArgs],
-                                                                   append(GsH, [Goal], Goals)
+        ; ( HV == 'add-atom' ; HV == 'remove-atom' ), T = [Space,Atom] -> 
+                                                                   translate_expr(Space, G1, S),
+                                                                   Goal =.. [HV,S,Atom,Out],
+                                                                   append([GsH,G1,[Goal]], Goals)
         ; HV == match, T = [Space, Pattern, Body] -> translate_expr(Space, G1, S),
                                                      translate_expr(Body, GsB, Out),
                                                      append(G1, [match(S, Pattern, Out, Out)], G2),