diff --git a/CMakeLists.txt b/CMakeLists.txt
index 6985507aa3f..323cb9b4e5a 100644
--- a/CMakeLists.txt
+++ b/CMakeLists.txt
@@ -463,38 +463,18 @@ add_subdirectory(subsys)
 add_subdirectory(drivers)
 
 # Include zephyr modules generated CMake file.
-if(EXISTS ${CMAKE_BINARY_DIR}/zephyr_modules.txt)
-	file(STRINGS ${CMAKE_BINARY_DIR}/zephyr_modules.txt ZEPHYR_MODULES_TXT
-		ENCODING UTF-8)
-  set(module_names)
-
-  foreach(module ${ZEPHYR_MODULES_TXT})
-    # Match "<name>":"<path>" for each line of file, each corresponding to
-    # one module. The use of quotes is required due to CMake not supporting
-    # lazy regexes (it supports greedy only).
-    string(REGEX REPLACE "\"(.*)\":\".*\"" "\\1" module_name ${module})
-    string(REGEX REPLACE "\".*\":\"(.*)\"" "\\1" module_path ${module})
-
-    list(APPEND module_names ${module_name})
-
-    string(TOUPPER ${module_name} MODULE_NAME_UPPER)
-    set(ZEPHYR_${MODULE_NAME_UPPER}_MODULE_DIR ${module_path})
-    set(ZEPHYR_${MODULE_NAME_UPPER}_MODULE_DIR ${module_path} PARENT_SCOPE)
-  endforeach()
-
-  foreach(module_name ${module_names})
-    # Note the second, binary_dir parameter requires the added
-    # subdirectory to have its own, local cmake target(s). If not then
-    # this binary_dir is created but stays empty. Object files land in
-    # the main binary dir instead.
-    # https://cmake.org/pipermail/cmake/2019-June/069547.html
-    string(TOUPPER ${module_name} MODULE_NAME_UPPER)
-    set(ZEPHYR_CURRENT_MODULE_DIR ${ZEPHYR_${MODULE_NAME_UPPER}_MODULE_DIR})
-    add_subdirectory(${ZEPHYR_CURRENT_MODULE_DIR} ${CMAKE_BINARY_DIR}/modules/${module_name})
-  endforeach()
-  # Done processing modules, clear ZEPHYR_CURRENT_MODULE_DIR.
-  set(ZEPHYR_CURRENT_MODULE_DIR)
-endif()
+foreach(module_name ${ZEPHYR_MODULE_NAMES})
+  # Note the second, binary_dir parameter requires the added
+  # subdirectory to have its own, local cmake target(s). If not then
+  # this binary_dir is created but stays empty. Object files land in
+  # the main binary dir instead.
+  # https://cmake.org/pipermail/cmake/2019-June/069547.html
+  string(TOUPPER ${module_name} MODULE_NAME_UPPER)
+  set(ZEPHYR_CURRENT_MODULE_DIR ${ZEPHYR_${MODULE_NAME_UPPER}_MODULE_DIR})
+  add_subdirectory(${ZEPHYR_CURRENT_MODULE_DIR} ${CMAKE_BINARY_DIR}/modules/${module_name})
+endforeach()
+# Done processing modules, clear ZEPHYR_CURRENT_MODULE_DIR.
+set(ZEPHYR_CURRENT_MODULE_DIR)
 
 set(syscall_list_h   ${CMAKE_CURRENT_BINARY_DIR}/include/generated/syscall_list.h)
 set(syscalls_json    ${CMAKE_CURRENT_BINARY_DIR}/misc/generated/syscalls.json)
diff --git a/cmake/zephyr_module.cmake b/cmake/zephyr_module.cmake
index 933a0a569ed..f72964411c5 100644
--- a/cmake/zephyr_module.cmake
+++ b/cmake/zephyr_module.cmake
@@ -60,6 +60,24 @@ if(WEST OR ZEPHYR_MODULES)
     endforeach()
   endif()
 
+  if(EXISTS ${CMAKE_BINARY_DIR}/zephyr_modules.txt)
+    file(STRINGS ${CMAKE_BINARY_DIR}/zephyr_modules.txt ZEPHYR_MODULES_TXT
+         ENCODING UTF-8)
+    set(ZEPHYR_MODULE_NAMES)
+
+    foreach(module ${ZEPHYR_MODULES_TXT})
+      # Match "<name>":"<path>" for each line of file, each corresponding to
+      # one module. The use of quotes is required due to CMake not supporting
+      # lazy regexes (it supports greedy only).
+      string(REGEX REPLACE "\"(.*)\":\".*\"" "\\1" module_name ${module})
+      string(REGEX REPLACE "\".*\":\"(.*)\"" "\\1" module_path ${module})
+
+      list(APPEND ZEPHYR_MODULE_NAMES ${module_name})
+
+      string(TOUPPER ${module_name} MODULE_NAME_UPPER)
+      set(ZEPHYR_${MODULE_NAME_UPPER}_MODULE_DIR ${module_path})
+    endforeach()
+  endif()
 else()
 
   file(WRITE ${KCONFIG_MODULES_FILE}