diff --git a/common/djangoapps/mitxmako/makoloader.py b/common/djangoapps/mitxmako/makoloader.py
index d623e8bcff..6b6b31d464 100644
--- a/common/djangoapps/mitxmako/makoloader.py
+++ b/common/djangoapps/mitxmako/makoloader.py
@@ -44,7 +44,11 @@ class MakoLoader(object):
 
         if source.startswith("## mako\n"):
             # This is a mako template
-            template = Template(filename=file_path, module_directory=self.module_directory, uri=template_name)
+            template = Template(filename=file_path,
+                                module_directory=self.module_directory,
+                                input_encoding='utf-8',
+                                output_encoding='utf-8',
+                                uri=template_name)
             return template, None
         else:
             # This is a regular template