diff --git a/ibm_catalog.json b/ibm_catalog.json
index 7a0252c..7dd2a80 100644
--- a/ibm_catalog.json
+++ b/ibm_catalog.json
@@ -971,7 +971,7 @@
             }
           ],
           "dependency_version_2": true,
-          "terraform_version": "1.10.5"
+          "terraform_version": "1.12.2"
         }
       ]
     }
diff --git a/tests/pr_test.go b/tests/pr_test.go
index dadf37a..75946e7 100644
--- a/tests/pr_test.go
+++ b/tests/pr_test.go
@@ -27,7 +27,7 @@ const resourceGroup = "geretain-test-observability-agents"
 const fullyConfigurableSolutionDir = "solutions/fully-configurable"
 const fullyConfigurableSolutionKubeconfigDir = "solutions/fully-configurable/kubeconfig"
 const terraformDirLogsAgentIKS = "examples/logs-agent-iks"
-const terraformVersion = "terraform_v1.10" // This should match the version in the ibm_catalog.json
+const terraformVersion = "terraform_v1.12.2" // This should match the version in the ibm_catalog.json
 // Define a struct with fields that match the structure of the YAML data
 const yamlLocation = "../common-dev-assets/common-go-assets/common-permanent-resources.yaml"