diff --git a/app/api/database/restore-initial/route.ts b/app/api/database/restore-initial/route.ts
index b90c7fb..5f626a0 100644
--- a/app/api/database/restore-initial/route.ts
+++ b/app/api/database/restore-initial/route.ts
@@ -4,7 +4,7 @@ import path from 'path';
 import JSZip from 'jszip';
 import prisma from '../../db';
 import { withAuthContext, ApiResponse, AuthResult } from '../../utils/auth';
-import { reloadEnvFile, ensureEnvDefaults } from '../../utils/env-reload';
+import { reloadEnvFile, ensureEnvDefaults, parseEnvFile, replaceEnvVar } from '../../utils/env-reload';
 import { isSQLite } from '../../utils/db-provider';
 import { importFromSQLiteFile, importFromJSON } from '../../utils/db-backup';
 
@@ -99,22 +99,42 @@ async function handler(request: NextRequest, authContext: AuthResult): Promise<N
           );
         }
 
-        // Extract and restore .env file if it exists
+        // Extract and restore .env file if it exists, preserving current DB connection params
         const envFiles = Object.keys(zip.files).filter(name => name.endsWith('.backup.env'));
         if (envFiles.length > 0) {
           const envFile = zip.file(envFiles[0]);
           if (envFile) {
             const envContent = await envFile.async('string');
 
-            // Backup existing .env
+            // Save current DB connection params before overwriting
+            const preserveKeys = ['DATABASE_PROVIDER', 'DATABASE_URL', 'LOG_DATABASE_URL'];
+            const preserved: Record<string, string> = {};
             if (fs.existsSync(envPath)) {
+              const currentEnvContent = fs.readFileSync(envPath, 'utf-8');
+              const currentVars = parseEnvFile(currentEnvContent);
+              for (const key of preserveKeys) {
+                if (currentVars[key]) preserved[key] = currentVars[key];
+              }
+
+              // Backup existing .env
               const envBackupPath = `${envPath}.backup-${dateStr}`;
               await fs.promises.copyFile(envPath, envBackupPath);
               console.log('✓ Existing .env backed up');
             }
 
+            // Write the backup's .env
             await fs.promises.writeFile(envPath, envContent);
             console.log('✓ .env file restored successfully');
+
+            // Re-apply preserved DB connection params
+            if (Object.keys(preserved).length > 0) {
+              let restoredContent = await fs.promises.readFile(envPath, 'utf-8');
+              for (const [key, value] of Object.entries(preserved)) {
+                restoredContent = replaceEnvVar(restoredContent, key, value);
+              }
+              await fs.promises.writeFile(envPath, restoredContent);
+              console.log('✓ Database connection parameters preserved');
+            }
           }
         }
 
diff --git a/app/api/database/route.ts b/app/api/database/route.ts
index 8672318..d0061bc 100644
--- a/app/api/database/route.ts
+++ b/app/api/database/route.ts
@@ -4,7 +4,7 @@ import path from 'path';
 import JSZip from 'jszip';
 import prisma from '../db';
 import { withSysAdminAuth, ApiResponse } from '../utils/auth';
-import { reloadEnvFile, ensureEnvDefaults } from '../utils/env-reload';
+import { reloadEnvFile, ensureEnvDefaults, parseEnvFile, replaceEnvVar } from '../utils/env-reload';
 import { isSQLite } from '../utils/db-provider';
 import { importFromSQLiteFile, importFromJSON, exportToJSON } from '../utils/db-backup';
 
@@ -143,20 +143,41 @@ async function postHandler(req: NextRequest): Promise<NextResponse<ApiResponse<a
           );
         }
 
-        // Extract and restore .env file if it exists
+        // Extract and restore .env file if it exists, preserving current DB connection params
         const envFiles = Object.keys(zip.files).filter(name => name.endsWith('.backup.env'));
         if (envFiles.length > 0) {
           const envFile = zip.file(envFiles[0]);
           if (envFile) {
             const envContent = await envFile.async('string');
 
-            // Backup existing .env
-            if (await fs.promises.access(envPath).then(() => true).catch(() => false)) {
+            // Save current DB connection params before overwriting
+            const preserveKeys = ['DATABASE_PROVIDER', 'DATABASE_URL', 'LOG_DATABASE_URL'];
+            const preserved: Record<string, string> = {};
+            const currentEnvExists = await fs.promises.access(envPath).then(() => true).catch(() => false);
+            if (currentEnvExists) {
+              const currentEnvContent = await fs.promises.readFile(envPath, 'utf-8');
+              const currentVars = parseEnvFile(currentEnvContent);
+              for (const key of preserveKeys) {
+                if (currentVars[key]) preserved[key] = currentVars[key];
+              }
+
+              // Backup existing .env
               const envBackupPath = `${envPath}.backup-${dateStr}`;
               await fs.promises.copyFile(envPath, envBackupPath);
             }
 
+            // Write the backup's .env
             await fs.promises.writeFile(envPath, envContent);
+
+            // Re-apply preserved DB connection params
+            if (Object.keys(preserved).length > 0) {
+              let restoredContent = await fs.promises.readFile(envPath, 'utf-8');
+              for (const [key, value] of Object.entries(preserved)) {
+                restoredContent = replaceEnvVar(restoredContent, key, value);
+              }
+              await fs.promises.writeFile(envPath, restoredContent);
+              console.log('Database connection parameters preserved during .env restore');
+            }
           }
         }
 
diff --git a/app/api/utils/env-reload.ts b/app/api/utils/env-reload.ts
index 0665e53..ff5c1d3 100644
--- a/app/api/utils/env-reload.ts
+++ b/app/api/utils/env-reload.ts
@@ -6,7 +6,7 @@ import { execSync } from 'child_process';
  * Parses a .env file content and returns key-value pairs
  * Handles comments, empty lines, quoted values, and unquoted values
  */
-function parseEnvFile(content: string): Record<string, string> {
+export function parseEnvFile(content: string): Record<string, string> {
   const envVars: Record<string, string> = {};
   const lines = content.split('\n');
 
@@ -51,12 +51,20 @@ function parseEnvFile(content: string): Record<string, string> {
 }
 
 /**
- * Reloads environment variables from the .env file into process.env
- * This is useful after restoring a backup that includes a new .env file
- * 
- * @param envFilePath Optional path to the .env file. Defaults to './.env'
- * @returns True if the reload was successful, false otherwise
+ * Replaces or appends an environment variable in .env file content.
+ * If the key exists, its value is updated in-place. If not, it's appended.
  */
+export function replaceEnvVar(content: string, key: string, value: string): string {
+  const regex = new RegExp(`^${key}=.*$`, 'm');
+  const needsQuotes = value.includes(' ') || value.includes('://');
+  const newLine = needsQuotes ? `${key}="${value}"` : `${key}=${value}`;
+  if (regex.test(content)) {
+    return content.replace(regex, newLine);
+  }
+  const suffix = content.endsWith('\n') ? '' : '\n';
+  return content + suffix + newLine + '\n';
+}
+
 /**
  * Ensures all required environment variables exist in the .env file.
  * Adds missing vars with correct defaults without overwriting existing values.