diff --git a/src/smf/gn-handler.c b/src/smf/gn-handler.c
index ac67887dce..c7481d917c 100644
--- a/src/smf/gn-handler.c
+++ b/src/smf/gn-handler.c
@@ -299,7 +299,7 @@ void smf_gn_handle_update_pdp_context_request(
     uint8_t cause_value = OGS_GTP1_CAUSE_REQUEST_ACCEPTED;
 
     ogs_gtp1_header_t h;
-    ogs_pkbuf_t *pkbuf = NULL;
+    ogs_pfcp_pdr_t *pdr = NULL;
     smf_bearer_t *bearer = NULL;
     smf_ue_t *smf_ue = NULL;
 
@@ -356,6 +356,7 @@ void smf_gn_handle_update_pdp_context_request(
             ogs_gtp1_send_error_message(xact, sess->sgw_s5c_teid,
                     OGS_GTP1_UPDATE_PDP_CONTEXT_RESPONSE_TYPE,
                     OGS_GTP1_CAUSE_NON_EXISTENT);
+            return;
         }
     }
 
@@ -386,12 +387,43 @@ void smf_gn_handle_update_pdp_context_request(
     h.type = OGS_GTP1_UPDATE_PDP_CONTEXT_RESPONSE_TYPE;
     h.teid = sess->sgw_s5c_teid;
 
-    pkbuf = smf_gn_build_update_pdp_context_response(h.type, sess, bearer);
-    ogs_expect_or_return(pkbuf);
+    /* Set bearer so it's accessible later when handling PFCP Session Modification Response */
+    xact->data = bearer;
 
-    rv = ogs_gtp1_xact_update_tx(xact, &h, pkbuf);
-    ogs_expect_or_return(rv == OGS_OK);
+    /* Update remote TEID and GTP-U IP address on the UPF. UpdatePDPContextResp
+     * will be sent when UPF answers back this request
+     */
+     ogs_list_for_each(&sess->pfcp.pdr_list, pdr) {
+        ogs_pfcp_far_t *far = pdr->far;
+        ogs_assert(far);
 
-    rv = ogs_gtp_xact_commit(xact);
-    ogs_expect(rv == OGS_OK);
+        if (pdr->src_if != OGS_PFCP_INTERFACE_CORE ||
+            far->dst_if != OGS_PFCP_INTERFACE_ACCESS)
+            continue;
+        if (!(far->apply_action & OGS_PFCP_APPLY_ACTION_FORW))
+            continue;
+
+        if (pdr->id == bearer->dl_pdr->id) {
+            rv = ogs_pfcp_ip_to_outer_header_creation(&bearer->sgw_s5u_ip,
+                                                &far->outer_header_creation,
+                                                &far->outer_header_creation_len);
+            ogs_assert(rv == OGS_OK);
+            far->outer_header_creation.teid = bearer->sgw_s5u_teid;
+        }
+    }
+
+    rv = smf_epc_pfcp_send_session_modification_request(sess, xact,
+            OGS_PFCP_MODIFY_DL_ONLY|OGS_PFCP_MODIFY_ACTIVATE,
+            OGS_NAS_PROCEDURE_TRANSACTION_IDENTITY_UNASSIGNED,
+            OGS_GTP1_CAUSE_REACTIACTION_REQUESTED);
+    ogs_assert(rv == OGS_OK);
+
+    /* TODO: TS 29.061: Upon reception of an UpdatePDPContextRequest from the
+       SGSN, the GGSN may send an Accounting Request (Interim) to the Diameter
+       server to update the necessary information related to this PDP context. */
+    /* The P-GW need not wait for the Diameter Accounting Answer message from
+       the Diameter server before sending the response for the triggering
+       signalling message (e.g. Modify Bearer Response). The P-GW may delete the
+       bearer if the Accounting Answer is not received from the Diameter
+       server.*/
 }
diff --git a/src/smf/gtp-path.c b/src/smf/gtp-path.c
index 35c2eb450d..da9e617f23 100644
--- a/src/smf/gtp-path.c
+++ b/src/smf/gtp-path.c
@@ -361,7 +361,7 @@ int smf_gtp1_send_delete_pdp_context_response(
 }
 
 #if 0
-int smf_gtp_send_update_pdp_context_request(
+int smf_gtp1_send_update_pdp_context_request(
         smf_bearer_t *bearer, uint8_t pti, uint8_t cause_value)
 {
     int rv;
@@ -376,7 +376,7 @@ int smf_gtp_send_update_pdp_context_request(
     sess = bearer->sess;
     ogs_assert(sess);
 
-    memset(&h, 0, sizeof(ogs_gtp_header_t));
+    memset(&h, 0, sizeof(ogs_gtp1_header_t));
     h.type = OGS_GTP1_UPDATE_PDP_CONTEXT_REQUEST_TYPE;
     h.teid = sess->sgw_s5c_teid;
 
@@ -395,6 +395,38 @@ int smf_gtp_send_update_pdp_context_request(
 }
 #endif
 
+int smf_gtp1_send_update_pdp_context_response(
+        smf_bearer_t *bearer, ogs_gtp_xact_t *xact)
+{
+    int rv;
+
+    ogs_gtp1_header_t h;
+    ogs_pkbuf_t *pkbuf = NULL;
+
+    smf_sess_t *sess = NULL;
+
+    ogs_assert(bearer);
+    ogs_assert(xact);
+    sess = bearer->sess;
+    ogs_assert(sess);
+
+    memset(&h, 0, sizeof(ogs_gtp1_header_t));
+    h.type = OGS_GTP1_UPDATE_PDP_CONTEXT_RESPONSE_TYPE;
+    h.teid = sess->sgw_s5c_teid;
+
+    pkbuf = smf_gn_build_update_pdp_context_response(
+                h.type, sess, bearer);
+    ogs_expect_or_return_val(pkbuf, OGS_ERROR);
+
+    rv = ogs_gtp1_xact_update_tx(xact, &h, pkbuf);
+    ogs_expect_or_return_val(rv == OGS_OK, OGS_ERROR);
+
+    rv = ogs_gtp_xact_commit(xact);
+    ogs_expect(rv == OGS_OK);
+
+    return rv;
+}
+
 int smf_gtp_send_create_session_response(
         smf_sess_t *sess, ogs_gtp_xact_t *xact)
 {
diff --git a/src/smf/gtp-path.h b/src/smf/gtp-path.h
index b2520bc715..9673a055ad 100644
--- a/src/smf/gtp-path.h
+++ b/src/smf/gtp-path.h
@@ -33,8 +33,10 @@ int smf_gtp1_send_create_pdp_context_response(
         smf_sess_t *sess, ogs_gtp_xact_t *xact);
 int smf_gtp1_send_delete_pdp_context_response(
         smf_sess_t *sess, ogs_gtp_xact_t *xact);
-int smf_gtp_send_update_pdp_context_request(
+int smf_gtp1_send_update_pdp_context_request(
         smf_bearer_t *bearer, uint8_t pti, uint8_t cause_value);
+int smf_gtp1_send_update_pdp_context_response(
+        smf_bearer_t *bearer, ogs_gtp_xact_t *xact);
 
 int smf_gtp_send_create_session_response(
         smf_sess_t *sess, ogs_gtp_xact_t *xact);
diff --git a/src/smf/n4-handler.c b/src/smf/n4-handler.c
index 6c1c6a39aa..5405a6fd46 100644
--- a/src/smf/n4-handler.c
+++ b/src/smf/n4-handler.c
@@ -1105,7 +1105,13 @@ void smf_epc_n4_handle_session_modification_response(
         }
 
     } else if (flags & OGS_PFCP_MODIFY_ACTIVATE) {
-        /* Nothing */
+        /* SMF send Update PDP Context Response (GTPv1C) to SGSN */
+        if (gtp_xact->gtp_version == 1) {
+            bearer = gtp_xact->data;
+            smf_gtp1_send_update_pdp_context_response(bearer, gtp_xact);
+        } else {
+            /* TODO: SMF send Modify Bearer Response (GTPv2C) to SGWC */
+        }
     }
 }
 
diff --git a/src/smf/s5c-handler.c b/src/smf/s5c-handler.c
index 721d05885a..20441af5e2 100644
--- a/src/smf/s5c-handler.c
+++ b/src/smf/s5c-handler.c
@@ -423,6 +423,10 @@ void smf_s5c_handle_modify_bearer_request(
     ogs_debug("    SGW_S5C_TEID[0x%x] SMF_N4_TEID[0x%x]",
             sess->sgw_s5c_teid, sess->smf_n4_teid);
 
+    /* TODO: Update remote GTP-U IP addr + TEID in the UPF through PFCP, similar
+     * to what is done in smf_gn_handle_update_pdp_context_request()
+     */
+
     memset(&h, 0, sizeof(ogs_gtp_header_t));
     h.type = OGS_GTP_MODIFY_BEARER_RESPONSE_TYPE;
     h.teid = sess->sgw_s5c_teid;