diff --git a/gnu/local.mk b/gnu/local.mk
index dc210c7662..3d9ad7065c 100644
--- a/gnu/local.mk
+++ b/gnu/local.mk
@@ -692,6 +692,7 @@ dist_patch_DATA =						\
   %D%/packages/patches/libmad-frame-length.patch		\
   %D%/packages/patches/libmad-mips-newgcc.patch			\
   %D%/packages/patches/libssh-0.6.5-CVE-2016-0739.patch		\
+  %D%/packages/patches/libssh2-fix-build-failure-with-gcrypt.patch	\
   %D%/packages/patches/libtar-CVE-2013-4420.patch \
   %D%/packages/patches/libtheora-config-guess.patch		\
   %D%/packages/patches/libtiff-CVE-2016-10092.patch		\
diff --git a/gnu/packages/patches/libssh2-fix-build-failure-with-gcrypt.patch b/gnu/packages/patches/libssh2-fix-build-failure-with-gcrypt.patch
new file mode 100644
index 0000000000..4133be7fc9
--- /dev/null
+++ b/gnu/packages/patches/libssh2-fix-build-failure-with-gcrypt.patch
@@ -0,0 +1,33 @@
+This fixes a regression introduced in 1.8.0 where libssh2 fails to build
+with the gcrypt backend.
+
+Upstream bug URL:
+
+https://github.com/libssh2/libssh2/issues/150
+
+Patch copied from upstream source repository:
+
+https://github.com/libssh2/libssh2/commit/ced924b78a40126606797ef57a74066eb3b4b83f
+
+From ced924b78a40126606797ef57a74066eb3b4b83f Mon Sep 17 00:00:00 2001
+From: Sergei Trofimovich <siarheit@google.com>
+Date: Mon, 31 Oct 2016 09:04:33 +0000
+Subject: [PATCH] acinclude.m4: fix ./configure --with-libgcrypt
+
+diff --git a/acinclude.m4 b/acinclude.m4
+index 734ef07..c78260c 100644
+--- a/acinclude.m4
++++ b/acinclude.m4
+@@ -412,9 +412,9 @@ AC_DEFUN([LIBSSH2_CHECKFOR_GCRYPT], [
+ 
+   old_LDFLAGS=$LDFLAGS
+   old_CFLAGS=$CFLAGS
+-  if test -n "$use_libgcrypt" && test "$use_libgcrypt" != "no"; then
+-    LDFLAGS="$LDFLAGS -L$use_libgcrypt/lib"
+-    CFLAGS="$CFLAGS -I$use_libgcrypt/include"
++  if test -n "$with_libgcrypt_prefix" && test "$use_libgcrypt" != "no"; then
++    LDFLAGS="$LDFLAGS -L$with_libgcrypt_prefix/lib"
++    CFLAGS="$CFLAGS -I$with_libgcrypt_prefix/include"
+   fi
+   AC_LIB_HAVE_LINKFLAGS([gcrypt], [], [
+     #include <gcrypt.h>
diff --git a/gnu/packages/ssh.scm b/gnu/packages/ssh.scm
index c48e3e6f90..2e502fe7fc 100644
--- a/gnu/packages/ssh.scm
+++ b/gnu/packages/ssh.scm
@@ -93,13 +93,21 @@ remote applications.")
                    version ".tar.gz"))
             (sha256
              (base32
-              "1m3n8spv79qhjq4yi0wgly5s5rc8783jb1pyra9bkx1md0plxwrr"))))
+              "1m3n8spv79qhjq4yi0wgly5s5rc8783jb1pyra9bkx1md0plxwrr"))
+            (patches
+             (search-patches "libssh2-fix-build-failure-with-gcrypt.patch"))))
    (build-system gnu-build-system)
    ;; The installed libssh2.pc file does not include paths to libgcrypt and
    ;; zlib libraries, so we need to propagate the inputs.
    (propagated-inputs `(("libgcrypt" ,libgcrypt)
                         ("zlib" ,zlib)))
-   (arguments '(#:configure-flags `("--with-libgcrypt")))
+   (arguments '(#:configure-flags `("--with-libgcrypt")
+                #:phases (modify-phases %standard-phases
+                           (add-before 'configure 'autoreconf
+                             (lambda _
+                               (zero? (system* "autoreconf" "-v")))))))
+   (native-inputs `(("autoconf" ,autoconf)
+                    ("automake" ,automake)))
    (synopsis "Client-side C library implementing the SSH2 protocol")
    (description
     "libssh2 is a library intended to allow software developers access to