diff --git a/dynamic.c b/dynamic.c
index 03ad265027..344b4fd478 100644
--- a/dynamic.c
+++ b/dynamic.c
@@ -185,58 +185,6 @@ void libretro_free_system_info(struct retro_system_info *info)
    memset(info, 0, sizeof(*info));
 }
 
-
-static bool find_first_libretro(char *path, size_t size,
-      const char *dir, const char *rom_path)
-{
-   size_t i;
-   bool ret = false;
-   const char *ext = path_get_extension(rom_path);
-   if (!ext || !*ext)
-   {
-      RARCH_ERR("Path has no extension. Cannot infer libretro implementation.\n");
-      return false;
-   }
-
-   RARCH_LOG("Searching for valid libretro implementation in: \"%s\".\n", dir);
-
-   struct string_list *list = dir_list_new(dir, DYNAMIC_EXT, false);
-   if (!list)
-   {
-      RARCH_ERR("Couldn't open directory: \"%s\".\n", dir);
-      return false;
-   }
-
-   for (i = 0; i < list->size && !ret; i++)
-   {
-      RARCH_LOG("Checking library: \"%s\".\n", list->elems[i].data);
-
-      struct retro_system_info info = {0};
-      dylib_t lib = libretro_get_system_info_lib(list->elems[i].data, &info, NULL);
-      if (!lib)
-         continue;
-
-      if (!info.valid_extensions)
-      {
-         dylib_close(lib);
-         continue;
-      }
-
-      struct string_list *supported_ext = string_split(info.valid_extensions, "|");
-
-      if (string_list_find_elem(supported_ext, ext))
-      {
-         strlcpy(path, list->elems[i].data, size);
-         ret = true;
-      }
-
-      string_list_free(supported_ext);
-      dylib_close(lib);
-   }
-
-   dir_list_free(list);
-   return ret;
-}
 #endif
 
 const struct retro_subsystem_info *libretro_find_subsystem_info(const struct retro_subsystem_info *info, unsigned num_info,
@@ -307,19 +255,6 @@ static void load_symbols(bool is_dummy)
    else
    {
 #ifdef HAVE_DYNAMIC
-      if (path_is_directory(g_settings.libretro))
-      {
-         char libretro_core_buffer[PATH_MAX];
-         if (!find_first_libretro(libretro_core_buffer, sizeof(libretro_core_buffer),
-                  g_settings.libretro, g_extern.fullpath))
-         {
-            RARCH_ERR("libretro_path is a directory, but no valid libretro implementation was found.\n");
-            rarch_fail(1, "load_dynamic()");
-         }
-
-         strlcpy(g_settings.libretro, libretro_core_buffer, sizeof(g_settings.libretro));
-      }
-
       // Need to use absolute path for this setting. It can be saved to ROM history,
       // and a relative path would break in that scenario.
       path_resolve_realpath(g_settings.libretro, sizeof(g_settings.libretro));
diff --git a/frontend/menu/backend/menu_common_backend.c b/frontend/menu/backend/menu_common_backend.c
index 14e28ad554..feb15809c6 100644
--- a/frontend/menu/backend/menu_common_backend.c
+++ b/frontend/menu/backend/menu_common_backend.c
@@ -557,7 +557,7 @@ static int menu_settings_iterate(void *data, unsigned action)
       file_list_get_at_offset(rgui->selection_buf, rgui->selection_ptr, &label, &type);
 
    if (type == RGUI_SETTINGS_CORE)
-      label = rgui->libretro_dir;
+      label = g_settings.libretro_directory;
    else if (type == RGUI_SETTINGS_CONFIG)
       label = g_settings.rgui_config_directory;
    else if (type == RGUI_SETTINGS_DISK_APPEND)
@@ -1469,7 +1469,7 @@ static int menu_common_iterate(void *data, unsigned action)
             }
             else if (menu_type == RGUI_LIBRETRO_DIR_PATH)
             {
-               strlcpy(rgui->libretro_dir, dir, sizeof(rgui->libretro_dir));
+               strlcpy(g_settings.libretro_directory, dir, sizeof(g_settings.libretro_directory));
                menu_init_core_info(rgui);
                menu_flush_stack_type(rgui, RGUI_SETTINGS_PATH_OPTIONS);
             }
@@ -1536,7 +1536,7 @@ static int menu_common_iterate(void *data, unsigned action)
                   }
                   else // Present a selection.
                   {
-                     file_list_push(rgui->menu_stack, rgui->libretro_dir, RGUI_SETTINGS_DEFERRED_CORE, rgui->selection_ptr);
+                     file_list_push(rgui->menu_stack, g_settings.libretro_directory, RGUI_SETTINGS_DEFERRED_CORE, rgui->selection_ptr);
                      menu_clear_navigation(rgui);
                      rgui->need_refresh = true;
                   }
@@ -2978,7 +2978,7 @@ static int menu_common_setting_set(void *data, unsigned setting, unsigned action
       case RGUI_LIBRETRO_DIR_PATH:
          if (action == RGUI_ACTION_START)
          {
-            *rgui->libretro_dir = '\0';
+            *g_settings.libretro_directory = '\0';
             menu_init_core_info(rgui);
          }
          break;
@@ -3977,7 +3977,7 @@ static void menu_common_setting_set_label(char *type_str, size_t type_str_size,
          strlcpy(type_str, *g_extern.savestate_dir ? g_extern.savestate_dir : "<ROM dir>", type_str_size);
          break;
       case RGUI_LIBRETRO_DIR_PATH:
-         strlcpy(type_str, *rgui->libretro_dir ? rgui->libretro_dir : "<None>", type_str_size);
+         strlcpy(type_str, *g_settings.libretro_directory ? g_settings.libretro_directory : "<None>", type_str_size);
          break;
       case RGUI_LIBRETRO_INFO_DIR_PATH:
          strlcpy(type_str, *g_settings.libretro_info_path ? g_settings.libretro_info_path : "<Core dir>", type_str_size);
diff --git a/frontend/menu/disp/lakka.c b/frontend/menu/disp/lakka.c
index 349b105535..e603c16e95 100644
--- a/frontend/menu/disp/lakka.c
+++ b/frontend/menu/disp/lakka.c
@@ -906,7 +906,7 @@ static void *lakka_init(void)
 
    menu_init_core_info(rgui);
 
-   rgui->core_info = core_info_list_new(*rgui->libretro_dir ? rgui->libretro_dir : "/usr/lib/libretro");
+   rgui->core_info = core_info_list_new(*g_settings.libretro_directory ? g_settings.libretro_directory : "/usr/lib/libretro");
 
    num_categories = rgui->core_info ? rgui->core_info->count + 1 : 1;
 
diff --git a/frontend/menu/menu_common.c b/frontend/menu/menu_common.c
index e62fc377fa..254f0be4ba 100644
--- a/frontend/menu/menu_common.c
+++ b/frontend/menu/menu_common.c
@@ -39,7 +39,7 @@ void menu_update_system_info(void *data, bool *load_no_rom)
 
 #ifdef HAVE_DYNAMIC
    libretro_free_system_info(&rgui->info);
-   if (!path_is_directory(g_settings.libretro))
+   if (*g_settings.libretro)
    {
       libretro_get_system_info(g_settings.libretro, &rgui->info, load_no_rom);
 #endif
@@ -204,17 +204,6 @@ static void menu_update_libretro_info(void *data)
    if (!rgui)
       return;
 
-   *rgui->libretro_dir = '\0';
-
-#if defined(RARCH_CONSOLE)
-   strlcpy(rgui->libretro_dir, default_paths.core_dir, sizeof(rgui->libretro_dir));
-#else
-   if (path_is_directory(g_settings.libretro))
-      strlcpy(rgui->libretro_dir, g_settings.libretro, sizeof(rgui->libretro_dir));
-   else if (*g_settings.libretro)
-      fill_pathname_basedir(rgui->libretro_dir, g_settings.libretro, sizeof(rgui->libretro_dir));
-#endif
-
 #ifndef HAVE_DYNAMIC
    retro_get_system_info(&rgui->info);
 #endif
@@ -222,8 +211,8 @@ static void menu_update_libretro_info(void *data)
    memset(&rgui->core_info_current, 0, sizeof(rgui->core_info_current));
    core_info_list_free(rgui->core_info);
    rgui->core_info = NULL;
-   if (*rgui->libretro_dir)
-      rgui->core_info = core_info_list_new(rgui->libretro_dir);
+   if (*g_settings.libretro_directory)
+      rgui->core_info = core_info_list_new(g_settings.libretro_directory);
 
    menu_update_system_info(rgui, NULL);
 }
@@ -668,7 +657,7 @@ bool menu_save_new_config(void)
    bool found_path = false;
    char config_name[PATH_MAX];
    char config_path[PATH_MAX];
-   if (*g_settings.libretro && !path_is_directory(g_settings.libretro) && path_file_exists(g_settings.libretro)) // Infer file name based on libretro core.
+   if (*g_settings.libretro && path_file_exists(g_settings.libretro)) // Infer file name based on libretro core.
    {
       unsigned i;
       // In case of collision, find an alternative name.
@@ -914,6 +903,6 @@ void menu_init_core_info(void *data)
 
    core_info_list_free(rgui->core_info);
    rgui->core_info = NULL;
-   if (*rgui->libretro_dir)
-      rgui->core_info = core_info_list_new(rgui->libretro_dir);
+   if (*g_settings.libretro_directory)
+      rgui->core_info = core_info_list_new(g_settings.libretro_directory);
 }
diff --git a/frontend/menu/menu_common.h b/frontend/menu/menu_common.h
index 9074734b30..f7137f8f92 100644
--- a/frontend/menu/menu_common.h
+++ b/frontend/menu/menu_common.h
@@ -159,7 +159,6 @@ typedef struct
    const uint8_t *font;
    bool alloc_font;
 
-   char libretro_dir[PATH_MAX];
    struct retro_system_info info;
    bool load_no_rom;
 
diff --git a/general.h b/general.h
index 520a69f740..3b5f7b781e 100644
--- a/general.h
+++ b/general.h
@@ -290,6 +290,7 @@ struct settings
    unsigned game_history_size;
 
    char libretro[PATH_MAX];
+   char libretro_directory[PATH_MAX];
    unsigned libretro_log_level;
    char libretro_info_path[PATH_MAX];
    char cheat_database[PATH_MAX];
@@ -375,6 +376,7 @@ struct global
    bool has_set_state_path;
    bool has_set_libretro_device[MAX_PLAYERS];
    bool has_set_libretro;
+   bool has_set_libretro_directory;
 
 #ifdef HAVE_RMENU
    char menu_texture_path[PATH_MAX];
diff --git a/retroarch.c b/retroarch.c
index d793073917..7256ead358 100644
--- a/retroarch.c
+++ b/retroarch.c
@@ -892,6 +892,7 @@ static void parse_input(int argc, char *argv[])
    g_extern.has_set_save_path = false;
    g_extern.has_set_state_path = false;
    g_extern.has_set_libretro = false;
+   g_extern.has_set_libretro_directory = false;
    *g_extern.subsystem = '\0';
 
    if (argc < 2)
@@ -1069,8 +1070,18 @@ static void parse_input(int argc, char *argv[])
 
 #ifdef HAVE_DYNAMIC
          case 'L':
-            strlcpy(g_settings.libretro, optarg, sizeof(g_settings.libretro));
-            g_extern.has_set_libretro = true;
+            if (path_is_directory(optarg))
+            {
+               *g_settings.libretro = '\0';
+               strlcpy(g_settings.libretro_directory, optarg, sizeof(g_settings.libretro_directory));
+               g_extern.has_set_libretro = true;
+               g_extern.has_set_libretro_directory = true;
+            }
+            else
+            {
+               strlcpy(g_settings.libretro, optarg, sizeof(g_settings.libretro));
+               g_extern.has_set_libretro = true;
+            }
             break;
 #endif
 
diff --git a/retroarch.cfg b/retroarch.cfg
index dafdfc6292..14e093066d 100644
--- a/retroarch.cfg
+++ b/retroarch.cfg
@@ -21,11 +21,12 @@
 # Load libretro from a dynamic location for dynamically built RetroArch.
 # This option is mandatory.
 
-# If a directory, RetroArch will look through the directory until it finds an implementation
-# that appears to support the extension of the ROM loaded.
-# This could fail if ROM extensions overlap.
+# Path to a libretro implementation.
 # libretro_path = "/path/to/libretro.so"
 
+# A directory for where to search for libretro implmentations.
+# libretro_directory =
+
 # Sets log level for libretro cores (GET_LOG_INTERFACE).
 # If a log level issued by a libretro core is below libretro_log_level, it is ignored.
 # DEBUG logs are always ignored unless verbose mode is activated (--verbose).
diff --git a/settings.c b/settings.c
index 7a35ea17fa..d8d8e530be 100644
--- a/settings.c
+++ b/settings.c
@@ -381,6 +381,7 @@ void config_set_defaults(void)
    if (!g_extern.has_set_state_path)
       *g_extern.savestate_dir = '\0';
    *g_settings.libretro_info_path = '\0';
+   *g_settings.libretro_directory = '\0';
    *g_settings.core_options_path = '\0';
    *g_settings.game_history_path = '\0';
    *g_settings.cheat_database = '\0';
@@ -452,8 +453,8 @@ void config_set_defaults(void)
    if (default_dsp_filter_dir)
       fill_pathname_expand_special(g_settings.audio.filter_dir, default_dsp_filter_dir, sizeof(g_settings.audio.filter_dir));
 
-   if (default_libretro_path && !g_extern.has_set_libretro)
-      fill_pathname_expand_special(g_settings.libretro, default_libretro_path, sizeof(g_settings.libretro));
+   if (default_libretro_path && !g_extern.has_set_libretro_directory)
+      fill_pathname_expand_special(g_settings.libretro_directory, default_libretro_path, sizeof(g_settings.libretro_directory));
 
    if (default_libretro_info_path)
       fill_pathname_expand_special(g_settings.libretro_info_path, default_libretro_info_path, sizeof(g_settings.libretro_info_path));
@@ -955,6 +956,16 @@ bool config_load_file(const char *path, bool set_defaults)
 
    if (!g_extern.has_set_libretro)
       CONFIG_GET_PATH(libretro, "libretro_path");
+   if (!g_extern.has_set_libretro_directory)
+      CONFIG_GET_PATH(libretro_directory, "libretro_directory");
+
+   // Safe-guard against older behavior.
+   if (path_is_directory(g_settings.libretro))
+   {
+      RARCH_WARN("\"libretro_path\" is a directory, using this for \"libretro_directory\" instead.\n");
+      strlcpy(g_settings.libretro_directory, g_settings.libretro, sizeof(g_settings.libretro_directory));
+      *g_settings.libretro = '\0';
+   }
 
    CONFIG_GET_BOOL(fps_show, "fps_show");
    CONFIG_GET_BOOL(load_dummy_on_core_shutdown, "load_dummy_on_core_shutdown");
@@ -1286,6 +1297,7 @@ bool config_save_file(const char *path)
    config_set_bool(conf,  "load_dummy_on_core_shutdown", g_settings.load_dummy_on_core_shutdown);
    config_set_bool(conf,  "fps_show", g_settings.fps_show);
    config_set_path(conf,  "libretro_path", g_settings.libretro);
+   config_set_path(conf,  "libretro_directory", g_settings.libretro_directory);
    config_set_path(conf,  "libretro_info_path", g_settings.libretro_info_path);
    config_set_path(conf,  "cheat_database_path", g_settings.cheat_database);
    config_set_bool(conf,  "rewind_enable", g_settings.rewind_enable);