diff --git a/srcpkgs/vte3/template b/srcpkgs/vte3/template
index 5c19e26d33a..83c0bbea837 100644
--- a/srcpkgs/vte3/template
+++ b/srcpkgs/vte3/template
@@ -1,8 +1,8 @@
 # Template build file for 'vte3'.
 pkgname=vte3
-version=0.28.2
+version=0.29.1
 wrksrc=vte-${version}
-distfiles="${GNOME_SITE}/vte/0.28/vte-$version.tar.bz2"
+distfiles="${GNOME_SITE}/vte/0.29/vte-$version.tar.xz"
 build_style=gnu_configure
 configure_args="--localstatedir=/var --with-gtk=3.0 --enable-introspection
 --disable-gnome-pty-helper"
@@ -10,7 +10,7 @@ short_desc="Terminal widget with improved accessibility and I18N support"
 maintainer="Juan RP <xtraeme@gmail.com>"
 homepage="http://www.gnome.org"
 license="LGPL-2.1"
-checksum=8d04e202b617373dfb47689e5e628febe2c58840b34cccc4af4feb88c48df903
+checksum=5f846c2763eaac95bb15b99dd212d76ec7d723c1c6f81a8b562143f6eaf2ba9e
 long_desc="
  Terminal widget with improved font, internationalization and
  accessibility support for the GNOME 3 desktop."