diff --git a/server/src/com/cloud/api/ApiResponseHelper.java b/server/src/com/cloud/api/ApiResponseHelper.java
index b5d2de69a70..68770e5dff8 100755
--- a/server/src/com/cloud/api/ApiResponseHelper.java
+++ b/server/src/com/cloud/api/ApiResponseHelper.java
@@ -1149,12 +1149,29 @@ public class ApiResponseHelper implements ResponseGenerator {
                         vmResponse.setLinkLocalIp(singleNicProfile.getIp4Address());
                         vmResponse.setLinkLocalMacAddress(singleNicProfile.getMacAddress());
                         vmResponse.setLinkLocalNetmask(singleNicProfile.getNetmask());
-                    } else if (network.getTrafficType() == TrafficType.Public || network.getTrafficType() == TrafficType.Guest) {
-                        /*In basic zone, public ip has TrafficType.Guest*/
+                    } else if (network.getTrafficType() == TrafficType.Public) {
                         vmResponse.setPublicIp(singleNicProfile.getIp4Address());
                         vmResponse.setPublicMacAddress(singleNicProfile.getMacAddress());
                         vmResponse.setPublicNetmask(singleNicProfile.getNetmask());
                         vmResponse.setGateway(singleNicProfile.getGateway());
+                    } else if (network.getTrafficType() == TrafficType.Guest) {
+                        /*
+                          * In basic zone, public ip has TrafficType.Guest in case EIP service is not enabled.
+                          * When EIP service is enabled in the basic zone, system VM by default get the public
+                          * IP allocated for EIP. So return the guest/public IP accordingly.
+                          * */
+                        NetworkOffering networkOffering = ApiDBUtils.findNetworkOfferingById(network.getNetworkOfferingId());
+                        if (networkOffering.getElasticIp()) {
+                            IpAddress ip = ApiDBUtils.findIpByAssociatedVmId(vm.getId());
+                            if (ip != null) {
+                                vmResponse.setPublicIp(ip.getAddress().addr());
+                            }
+                        } else {
+                            vmResponse.setPublicIp(singleNicProfile.getIp4Address());
+                            vmResponse.setPublicMacAddress(singleNicProfile.getMacAddress());
+                            vmResponse.setPublicNetmask(singleNicProfile.getNetmask());
+                            vmResponse.setGateway(singleNicProfile.getGateway());
+                        }
                     }
                 }
             }