diff --git a/pkgs/development/interpreters/pypy/2.0/default.nix b/pkgs/development/interpreters/pypy/2.0/default.nix
new file mode 100644
index 00000000000..0f2a34336cf
--- /dev/null
+++ b/pkgs/development/interpreters/pypy/2.0/default.nix
@@ -0,0 +1,81 @@
+{ stdenv, fetchurl, zlib ? null, zlibSupport ? true, bzip2, pkgconfig, libffi
+, sqlite, openssl, ncurses, pythonFull, expat }:
+
+assert zlibSupport -> zlib != null;
+
+let
+
+  majorVersion = "2.0";
+  version = "${majorVersion}.2";
+
+  pypy = stdenv.mkDerivation rec {
+    name = "pypy-${version}";
+
+    inherit majorVersion version;
+
+    src = fetchurl {
+      url = "https://bitbucket.org/pypy/pypy/downloads/pypy-${version}-src.tar.bz2";
+      sha256 = "0g2cajs6m3yf0lak5f18ccs6j77cf5xvbm4h6y5l1qlqdc6wk48r";
+    };
+
+    buildInputs = [ bzip2 openssl pkgconfig pythonFull libffi ncurses expat sqlite ]
+      ++ stdenv.lib.optional (stdenv ? gcc && stdenv.gcc.libc != null) stdenv.gcc.libc
+      ++ stdenv.lib.optional zlibSupport zlib;
+
+    C_INCLUDE_PATH = stdenv.lib.concatStringsSep ":" (map (p: "${p}/include") buildInputs);
+    LIBRARY_PATH = stdenv.lib.concatStringsSep ":" (map (p: "${p}/lib") buildInputs);
+    LD_LIBRARY_PATH = LIBRARY_PATH;
+
+    preConfigure = ''
+      substituteInPlace Makefile \
+        --replace "-Ojit" "-Ojit --batch" \
+        --replace "pypy/goal/targetpypystandalone.py" "pypy/goal/targetpypystandalone.py --withmod-_minimal_curses --withmod-unicodedata --withmod-thread --withmod-bz2"
+
+      # we are using cpython and not pypy to do translation
+      substituteInPlace rpython/bin/rpython \
+        --replace "/usr/bin/env pypy" "${pythonFull}/bin/python"
+      substituteInPlace pypy/goal/targetpypystandalone.py \
+        --replace "/usr/bin/env pypy" "${pythonFull}/bin/python"
+
+      # convince pypy to find nix ncurses
+      substituteInPlace pypy/module/_minimal_curses/fficurses.py \
+        --replace "/usr/include/ncurses/curses.h" "${ncurses}/include/curses.h" \
+        --replace "ncurses/curses.h" "${ncurses}/include/curses.h" \
+        --replace "ncurses/term.h" "${ncurses}/include/term.h" \
+        --replace "libraries = ['curses']" "libraries = ['ncurses']"
+    '';
+
+    TERMINFO = "${ncurses}/share/terminfo/";
+
+    doCheck = true;
+    checkPhase = ''
+       export HOME="$TMPDIR"
+      ./pypy-c ./pypy/test_all.py --pypy=./pypy-c -m "not shutil" lib-python
+    '';
+
+    installPhase = ''
+       mkdir -p $out/bin
+       mkdir -p $out/pypy-c
+       cp -R {include,lib_pypy,lib-python,pypy-c} $out/pypy-c
+       ln -s $out/pypy-c/pypy-c $out/bin/pypy
+       chmod +x $out/bin/pypy
+       # TODO: compile python files?
+    '';
+
+    passthru = {
+      inherit zlibSupport;
+      libPrefix = "pypy${majorVersion}";
+    };
+
+    enableParallelBuilding = true;
+
+    meta = with stdenv.lib; {
+      homepage = "http://pypy.org/";
+      description = "PyPy is a fast, compliant alternative implementation of the Python language (2.7.3)";
+      license = licenses.mit;
+      platforms = platforms.all;
+      maintainers = with maintainers; [ iElectric ];
+    };
+  };
+
+in pypy
diff --git a/pkgs/top-level/all-packages.nix b/pkgs/top-level/all-packages.nix
index 6678b0abc23..bffffad649d 100644
--- a/pkgs/top-level/all-packages.nix
+++ b/pkgs/top-level/all-packages.nix
@@ -3107,6 +3107,8 @@ let
     libX11 = xlibs.libX11;
   };
 
+  pypy = callPackage ../development/interpreters/pypy/2.0 { };
+
   pythonFull = python27Full;
   python26Full = callPackage ../development/interpreters/python/wrapper.nix {
     extraLibs = lib.attrValues python26.modules;