diff --git a/pkgs/applications/editors/neovim/default.nix b/pkgs/applications/editors/neovim/default.nix
index 3f2058af133..ca915b3e6d1 100644
--- a/pkgs/applications/editors/neovim/default.nix
+++ b/pkgs/applications/editors/neovim/default.nix
@@ -24,8 +24,8 @@ let
     src = fetchFromGitHub {
       owner = "neovim";
       repo = "libvterm";
-      rev = "11682793d84668057c5aedc3d7f8071bb54eaf2c";
-      sha256 = "0pd90yx6xsagrqjipi26sxri1l4wdnx23ziad1zbxnqx9njxa7g3";
+      rev = "5a748f97fbf27003e141002b58933a99f3addf8d";
+      sha256 = "1fnd57f5n9h7z50a4vj7g96k6ndsdknjqsibgnxi9ndhyz244qbx";
     };
 
     buildInputs = [ perl ];
@@ -81,13 +81,13 @@ let
 
   neovim = stdenv.mkDerivation rec {
     name = "neovim-${version}";
-    version = "0.1.7";
+    version = "0.2.0";
 
     src = fetchFromGitHub {
       owner = "neovim";
       repo = "neovim";
       rev = "v${version}";
-      sha256 = "0bk0raxlb1xsqyw9pmqmxvcq5szqhimidrasnvzrci84gld8cwz4";
+      sha256 = "0fhjkgjwqqmzbfn9wk10l2vq9v74zkriz5j12b1rx0gdwzlfybn8";
     };
 
     enableParallelBuilding = true;