diff --git a/lib/nghttp2_session.c b/lib/nghttp2_session.c
index 58d20cf4..ddaa809b 100644
--- a/lib/nghttp2_session.c
+++ b/lib/nghttp2_session.c
@@ -128,6 +128,20 @@ int nghttp2_session_is_my_stream_id(nghttp2_session *session,
 
 nghttp2_stream* nghttp2_session_get_stream(nghttp2_session *session,
                                            int32_t stream_id)
+{
+  nghttp2_stream *stream;
+
+  stream = (nghttp2_stream*)nghttp2_map_find(&session->streams, stream_id);
+
+  if(stream == NULL || (stream->flags & NGHTTP2_STREAM_FLAG_CLOSED)) {
+    return NULL;
+  }
+
+  return stream;
+}
+
+nghttp2_stream* nghttp2_session_get_stream_raw(nghttp2_session *session,
+                                               int32_t stream_id)
 {
   return (nghttp2_stream*)nghttp2_map_find(&session->streams, stream_id);
 }
@@ -510,7 +524,7 @@ int nghttp2_session_reprioritize_stream
 
     old_stream_group = stream->stream_group;
 
-    dep_stream = nghttp2_session_get_stream(session, dep->stream_id);
+    dep_stream = nghttp2_session_get_stream_raw(session, dep->stream_id);
 
     if(dep_stream == NULL) {
       return 0;
@@ -736,6 +750,10 @@ nghttp2_stream* nghttp2_session_open_stream(nghttp2_session *session,
 
   dep_stream = NULL;
 
+  if(session->server && !nghttp2_session_is_my_stream_id(session, stream_id)) {
+    nghttp2_session_adjust_closed_stream(session, 1);
+  }
+
   switch(pri_spec->pri_type) {
   case NGHTTP2_PRIORITY_TYPE_GROUP:
     pri_group_id = pri_spec->group.pri_group_id;
@@ -743,7 +761,8 @@ nghttp2_stream* nghttp2_session_open_stream(nghttp2_session *session,
 
     break;
   case NGHTTP2_PRIORITY_TYPE_DEP:
-    dep_stream = nghttp2_session_get_stream(session, pri_spec->dep.stream_id);
+    dep_stream = nghttp2_session_get_stream_raw(session,
+                                                pri_spec->dep.stream_id);
 
     if(dep_stream) {
       pri_group_id = dep_stream->stream_group->pri_group_id;
@@ -838,7 +857,6 @@ int nghttp2_session_close_stream(nghttp2_session *session, int32_t stream_id,
 {
   int rv;
   nghttp2_stream *stream;
-  nghttp2_stream_group *stream_group;
 
   stream = nghttp2_session_get_stream(session, stream_id);
 
@@ -892,6 +910,29 @@ int nghttp2_session_close_stream(nghttp2_session *session, int32_t stream_id,
     }
   }
 
+  /* Closes both directions just in case they are not closed yet */
+  stream->flags |= NGHTTP2_STREAM_FLAG_CLOSED;
+
+  if(session->server && !nghttp2_session_is_my_stream_id(session, stream_id)) {
+    /* On server side, retain incoming stream object at most
+       MAX_CONCURRENT_STREAMS combined with the current active streams
+       to make dependency tree work better. */
+    nghttp2_session_keep_closed_stream(session, stream);
+  } else {
+    nghttp2_session_destroy_stream(session, stream);
+  }
+
+  return 0;
+}
+
+void nghttp2_session_destroy_stream(nghttp2_session *session,
+                                    nghttp2_stream *stream)
+{
+  nghttp2_stream_group *stream_group;
+
+  DEBUGF(fprintf(stderr, "stream: destroy closed stream(%p)=%d\n",
+                 stream, stream->stream_id));
+
   nghttp2_stream_dep_remove(stream);
 
   stream_group = stream->stream_group;
@@ -899,11 +940,55 @@ int nghttp2_session_close_stream(nghttp2_session *session, int32_t stream_id,
   nghttp2_stream_group_remove_stream(stream_group, stream);
   nghttp2_session_close_stream_group_if_empty(session, stream_group);
 
-  nghttp2_map_remove(&session->streams, stream_id);
+  nghttp2_map_remove(&session->streams, stream->stream_id);
   nghttp2_stream_free(stream);
   free(stream);
+}
 
-  return 0;
+void nghttp2_session_keep_closed_stream(nghttp2_session *session,
+                                        nghttp2_stream *stream)
+{
+  DEBUGF(fprintf(stderr, "stream: keep closed stream(%p)=%d\n",
+                 stream, stream->stream_id));
+
+  if(session->closed_stream_tail) {
+    session->closed_stream_tail->closed_next = stream;
+  } else {
+    session->closed_stream_head = stream;
+  }
+  session->closed_stream_tail = stream;
+
+  ++session->num_closed_streams;
+
+  nghttp2_session_adjust_closed_stream(session, 0);
+}
+
+void nghttp2_session_adjust_closed_stream(nghttp2_session *session,
+                                          ssize_t offset)
+{
+  DEBUGF(fprintf(stderr, "stream: adjusting kept closed streams "
+                 "num_closed_streams=%zu, num_incoming_streams=%zu, "
+                 "max_concurrent_streams=%u\n",
+                 session->num_closed_streams, session->num_incoming_streams,
+                 session->pending_local_max_concurrent_stream));
+
+  while(session->num_closed_streams > 0 &&
+        session->num_closed_streams + session->num_incoming_streams + offset
+        > session->pending_local_max_concurrent_stream) {
+    nghttp2_stream *head_stream;
+
+    head_stream = session->closed_stream_head;
+
+    session->closed_stream_head = head_stream->closed_next;
+
+    if(session->closed_stream_tail == head_stream) {
+      session->closed_stream_tail = NULL;
+    }
+
+    nghttp2_session_destroy_stream(session, head_stream);
+    /* head_stream is now freed */
+    --session->num_closed_streams;
+  }
 }
 
 /*
diff --git a/lib/nghttp2_session.h b/lib/nghttp2_session.h
index b74d481c..f406d573 100644
--- a/lib/nghttp2_session.h
+++ b/lib/nghttp2_session.h
@@ -130,6 +130,12 @@ struct nghttp2_session {
      enqueue if priority is equal. */
   int64_t next_seq;
   void *user_data;
+  /* Points to the latest closed stream.  NULL if there is no closed
+     stream. */
+  nghttp2_stream *closed_stream_head;
+  /* Points to the oldest closed stream.  NULL if there is no closed
+     stream. */
+  nghttp2_stream *closed_stream_tail;
   /* In-flight SETTINGS values. NULL does not necessarily mean there
      is no in-flight SETTINGS. */
   nghttp2_settings_entry *inflight_iv;
@@ -142,6 +148,11 @@ struct nghttp2_session {
   /* The number of incoming streams. This will be capped by
      local_settings[NGHTTP2_SETTINGS_MAX_CONCURRENT_STREAMS]. */
   size_t num_incoming_streams;
+  /* The number of closed streams still kept in |streams| hash.  The
+     closed streams can be accessed through single linked list
+     |closed_stream_head|.  The current implementation only keeps
+     incoming streams and session is initialized as server. */
+  size_t num_closed_streams;
   /* The number of bytes allocated for nvbuf */
   size_t nvbuflen;
   /* Next Stream ID. Made unsigned int to detect >= (1 << 31). */
@@ -330,6 +341,11 @@ nghttp2_stream* nghttp2_session_open_stream(nghttp2_session *session,
  * is indicated by the |error_code|. When closing the stream,
  * on_stream_close_callback will be called.
  *
+ * If the session is initialized as server and |stream| is incoming
+ * stream, stream is just marked closed and this function calls
+ * nghttp2_session_keep_closed_stream() with |stream|.  Otherwise,
+ * |stream| will be deleted from memory.
+ *
  * This function returns 0 if it succeeds, or one the following
  * negative error codes:
  *
@@ -343,6 +359,33 @@ nghttp2_stream* nghttp2_session_open_stream(nghttp2_session *session,
 int nghttp2_session_close_stream(nghttp2_session *session, int32_t stream_id,
                                  nghttp2_error_code error_code);
 
+/*
+ * Deletes |stream| from memory.  After this function returns, stream
+ * cannot be accessed.
+ *
+ */
+void nghttp2_session_destroy_stream(nghttp2_session *session,
+                                    nghttp2_stream *stream);
+
+/*
+ * Tries to keep incoming closed stream |stream|.  Due to the
+ * limitation of maximum number of streams in memory, |stream| is not
+ * closed and just deleted from memory (see
+ * nghttp2_session_destroy_stream).
+ */
+void nghttp2_session_keep_closed_stream(nghttp2_session *session,
+                                        nghttp2_stream *stream);
+
+/*
+ * Deletes closed stream to ensure that number of incoming streams
+ * including active and closed is in the maximum number of allowed
+ * stream.  If |offset| is nonzero, it is decreased from the maximum
+ * number of allowed stream when comparing number of active and closed
+ * stream and the maximum number.
+ */
+void nghttp2_session_adjust_closed_stream(nghttp2_session *session,
+                                          ssize_t offset);
+
 /*
  * If further receptions and transmissions over the stream |stream_id|
  * are disallowed, close the stream with error code NGHTTP2_NO_ERROR.
@@ -506,11 +549,19 @@ int nghttp2_session_on_data_received(nghttp2_session *session,
 
 /*
  * Returns nghttp2_stream* object whose stream ID is |stream_id|.  It
- * could be NULL if such stream does not exist.
+ * could be NULL if such stream does not exist.  This function returns
+ * NULL if stream is marked as closed.
  */
 nghttp2_stream* nghttp2_session_get_stream(nghttp2_session *session,
                                            int32_t stream_id);
 
+/*
+ * This function behaves like nghttp2_session_get_stream(), but it
+ * returns stream object even if it is marked as closed.
+ */
+nghttp2_stream* nghttp2_session_get_stream_raw(nghttp2_session *session,
+                                               int32_t stream_id);
+
 /*
  * Returns nghttp2_stream_group* object whose priority group ID is
  * |pri_group_id|.  It could be NULL if such priority group does not
diff --git a/lib/nghttp2_stream.c b/lib/nghttp2_stream.c
index 5373b972..e58e7dd4 100644
--- a/lib/nghttp2_stream.c
+++ b/lib/nghttp2_stream.c
@@ -53,6 +53,8 @@ void nghttp2_stream_init(nghttp2_stream *stream, int32_t stream_id,
   stream->sib_prev = NULL;
   stream->sib_next = NULL;
 
+  stream->closed_next = NULL;
+
   stream->stream_group = NULL;
   stream->dpri = NGHTTP2_STREAM_DPRI_NO_DATA;
   stream->num_substreams = 1;
diff --git a/lib/nghttp2_stream.h b/lib/nghttp2_stream.h
index ce632b9d..b5300950 100644
--- a/lib/nghttp2_stream.h
+++ b/lib/nghttp2_stream.h
@@ -82,7 +82,9 @@ typedef enum {
 typedef enum {
   NGHTTP2_STREAM_FLAG_NONE = 0,
   /* Indicates that this stream is pushed stream */
-  NGHTTP2_STREAM_FLAG_PUSH = 0x01
+  NGHTTP2_STREAM_FLAG_PUSH = 0x01,
+  /* Indicates that this stream was closed */
+  NGHTTP2_STREAM_FLAG_CLOSED = 0x02
 } nghttp2_stream_flag;
 
 typedef enum {
@@ -118,6 +120,11 @@ struct nghttp2_stream {
      dep_prev and sib_prev are NULL. */
   nghttp2_stream *dep_prev, *dep_next;
   nghttp2_stream *sib_prev, *sib_next;
+  /* When stream is kept after closure, it may be kept in single
+     linked list pointed by nghttp2_session closed_stream_head.
+     closed_next points to the next stream object if it is the element
+     of the list. */
+  nghttp2_stream *closed_next;
   /* The arbitrary data provided by user for this stream. */
   void *stream_user_data;
   /* Active DATA frame */
diff --git a/tests/main.c b/tests/main.c
index 03076584..91468adb 100644
--- a/tests/main.c
+++ b/tests/main.c
@@ -223,6 +223,8 @@ int main(int argc, char* argv[])
                    test_nghttp2_session_stream_attach_data) ||
       !CU_add_test(pSuite, "session_stream_attach_data_subtree",
                    test_nghttp2_session_stream_attach_data_subtree) ||
+      !CU_add_test(pSuite, "session_stream_keep_closed_stream",
+                   test_nghttp2_session_keep_closed_stream) ||
       !CU_add_test(pSuite, "frame_pack_headers",
                    test_nghttp2_frame_pack_headers) ||
       !CU_add_test(pSuite, "frame_pack_headers_frame_too_large",
diff --git a/tests/nghttp2_session_test.c b/tests/nghttp2_session_test.c
index da9c7108..c421ea6e 100644
--- a/tests/nghttp2_session_test.c
+++ b/tests/nghttp2_session_test.c
@@ -5335,3 +5335,57 @@ void test_nghttp2_session_stream_attach_data_subtree(void)
 
   nghttp2_session_del(session);
 }
+
+void test_nghttp2_session_keep_closed_stream(void)
+{
+  nghttp2_session *session;
+  nghttp2_session_callbacks callbacks;
+  /* nghttp2_stream *stream; */
+  const size_t max_concurrent_streams = 5;
+  nghttp2_settings_entry iv = {
+    NGHTTP2_SETTINGS_MAX_CONCURRENT_STREAMS,
+    max_concurrent_streams
+  };
+  size_t i;
+
+  memset(&callbacks, 0, sizeof(callbacks));
+  callbacks.send_callback = null_send_callback;
+
+  nghttp2_session_server_new(&session, &callbacks, NULL);
+
+  nghttp2_submit_settings(session, NGHTTP2_FLAG_NONE, &iv, 1);
+
+  nghttp2_session_send(session);
+
+  for(i = 0; i < max_concurrent_streams; ++i) {
+    open_stream(session, i * 2 + 1);
+  }
+
+  CU_ASSERT(0 == session->num_closed_streams);
+
+  nghttp2_session_close_stream(session, 1, NGHTTP2_NO_ERROR);
+
+  CU_ASSERT(1 == session->num_closed_streams);
+  CU_ASSERT(1 == session->closed_stream_tail->stream_id);
+  CU_ASSERT(session->closed_stream_tail == session->closed_stream_head);
+
+  nghttp2_session_close_stream(session, 5, NGHTTP2_NO_ERROR);
+
+  CU_ASSERT(2 == session->num_closed_streams);
+  CU_ASSERT(5 == session->closed_stream_tail->stream_id);
+  CU_ASSERT(1 == session->closed_stream_head->stream_id);
+
+  open_stream(session, 11);
+
+  CU_ASSERT(1 == session->num_closed_streams);
+  CU_ASSERT(5 == session->closed_stream_tail->stream_id);
+  CU_ASSERT(session->closed_stream_tail == session->closed_stream_head);
+
+  open_stream(session, 13);
+
+  CU_ASSERT(0 == session->num_closed_streams);
+  CU_ASSERT(NULL == session->closed_stream_tail);
+  CU_ASSERT(NULL == session->closed_stream_head);
+
+  nghttp2_session_del(session);
+}
diff --git a/tests/nghttp2_session_test.h b/tests/nghttp2_session_test.h
index 20425b5c..40d8cd85 100644
--- a/tests/nghttp2_session_test.h
+++ b/tests/nghttp2_session_test.h
@@ -103,5 +103,6 @@ void test_nghttp2_session_stream_dep_add_subtree(void);
 void test_nghttp2_session_stream_dep_remove_subtree(void);
 void test_nghttp2_session_stream_attach_data(void);
 void test_nghttp2_session_stream_attach_data_subtree(void);
+void test_nghttp2_session_keep_closed_stream(void);
 
 #endif /* NGHTTP2_SESSION_TEST_H */