diff --git a/shared/services/nats_jetstream.py b/shared/services/nats_jetstream.py
index 1c9de1b14..c263e5b6c 100644
--- a/shared/services/nats_jetstream.py
+++ b/shared/services/nats_jetstream.py
@@ -1,3 +1,4 @@
+import asyncio
 from typing import Any, AsyncGenerator
 
 import nats
@@ -13,29 +14,58 @@
 
 async def init_nats_client() -> AsyncGenerator[JetStreamContext, Any]:
     """
-    Initialize a connection to the NATS server.
+    Initialize a connection to the NATS server with automatic reconnection handling.
     """
     logger.debug("Initialise NATS server ...")
 
-    connect_kwargs = {"servers": [NATS_SERVER]}
+    connect_kwargs = {
+        "servers": [NATS_SERVER],
+        "reconnect_time_wait": 0.5,        # Shorter wait time for faster reconnection
+        "max_reconnect_attempts": -1,       # Infinite reconnection attempts
+        "error_cb": error_callback,
+        "disconnected_cb": disconnected_callback,
+        "reconnected_cb": reconnected_callback,
+        "closed_cb": closed_callback,
+    }
+
     if NATS_CREDS_FILE:
         connect_kwargs["user_credentials"] = NATS_CREDS_FILE
     else:
         logger.warning("No NATS credentials file found, assuming local development")
 
     logger.info("Connecting to NATS server with kwargs {} ...", connect_kwargs)
-    try:
-        nats_client: NATS = await nats.connect(**connect_kwargs)
 
-    except (ErrConnectionClosed, ErrTimeout, ErrNoServers) as e:
-        logger.error("Error connecting to NATS server: {}", e)
-        raise e
-    logger.debug("Connected to NATS server")
+    while True:
+        try:
+            nats_client: NATS = await nats.connect(**connect_kwargs)
+            break
+        except (ErrConnectionClosed, ErrTimeout, ErrNoServers) as e:
+            logger.error("Error connecting to NATS server: {}", e)
+            await asyncio.sleep(1.0)  # Wait before retrying
+            continue
+        except Exception as e:
+            logger.error("Unexpected error connecting to NATS server: {}", e)
+            raise e
 
+    logger.debug("Connected to NATS server")
     jetstream: JetStreamContext = nats_client.jetstream()
     logger.debug("Yielding JetStream context ...")
-    yield jetstream
 
-    logger.debug("Closing NATS connection ...")
-    await nats_client.close()
-    logger.debug("NATS connection closed")
+    try:
+        yield jetstream
+    finally:
+        logger.debug("Closing NATS connection ...")
+        await nats_client.close()
+        logger.debug("NATS connection closed")
+
+async def error_callback(e):
+    logger.error("NATS error: {}", str(e))
+
+async def disconnected_callback():
+    logger.warning("Disconnected from NATS server")
+
+async def reconnected_callback():
+    logger.info("Reconnected to NATS server")
+
+async def closed_callback():
+    logger.warning("NATS connection closed")