diff --git a/tools/build_kvm.sh b/tools/build_kvm.sh
index c047803..b9f6163 100755
--- a/tools/build_kvm.sh
+++ b/tools/build_kvm.sh
@@ -166,7 +166,7 @@ CONTAINER_RAM=${CONTAINER_RAM:-1524288}
 CONTAINER_CORES=${CONTAINER_CORES:-1}
 
 # libvirt.xml configuration
-LIBVIRT_XML=libvirt.xml
+LIBVIRT_XML=$VM_DIR/libvirt.xml
 cat > $LIBVIRT_XML <<EOF
 <domain type='kvm'>
     <name>$CONTAINER_NAME</name>