diff --git a/src/components/AttachmentPicker/index.native.tsx b/src/components/AttachmentPicker/index.native.tsx
index d3a51c7fc0f0..85824f81e313 100644
--- a/src/components/AttachmentPicker/index.native.tsx
+++ b/src/components/AttachmentPicker/index.native.tsx
@@ -16,6 +16,8 @@ import useArrowKeyFocusManager from '@hooks/useArrowKeyFocusManager';
 import useKeyboardShortcut from '@hooks/useKeyboardShortcut';
 import useLocalize from '@hooks/useLocalize';
 import useResponsiveLayout from '@hooks/useResponsiveLayout';
+import useStyleUtils from '@hooks/useStyleUtils';
+import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
 import * as FileUtils from '@libs/fileDownload/FileUtils';
 import CONST from '@src/CONST';
@@ -115,6 +117,8 @@ function AttachmentPicker({
     shouldValidateImage = true,
 }: AttachmentPickerProps) {
     const styles = useThemeStyles();
+    const StyleUtils = useStyleUtils();
+    const theme = useTheme();
     const [isVisible, setIsVisible] = useState(false);
 
     const completeAttachmentSelection = useRef<(data: FileObject) => void>(() => {});
@@ -428,6 +432,7 @@ function AttachmentPicker({
                             title={translate(item.textTranslationKey)}
                             onPress={() => selectItem(item)}
                             focused={focusedIndex === menuIndex}
+                            wrapperStyle={StyleUtils.getItemBackgroundColorStyle(false, focusedIndex === menuIndex, theme.activeComponentBG, theme.hoverComponentBG)}
                         />
                     ))}
                 </View>
diff --git a/src/components/EmojiPicker/EmojiPickerMenuItem/index.tsx b/src/components/EmojiPicker/EmojiPickerMenuItem/index.tsx
index 8aaf4a14e560..1629089dace5 100644
--- a/src/components/EmojiPicker/EmojiPickerMenuItem/index.tsx
+++ b/src/components/EmojiPicker/EmojiPickerMenuItem/index.tsx
@@ -68,8 +68,7 @@ function EmojiPickerMenuItem({
                 ref.current = el ?? null;
             }}
             style={({pressed}) => [
-                isFocused ? themeStyles.emojiItemKeyboardHighlighted : {},
-                isHovered || isHighlighted ? themeStyles.emojiItemHighlighted : {},
+                isFocused || isHovered || isHighlighted ? themeStyles.emojiItemHighlighted : {},
                 Browser.isMobile() && StyleUtils.getButtonBackgroundColorStyle(getButtonState(false, pressed)),
                 themeStyles.emojiItem,
             ]}
diff --git a/src/components/MenuItem.tsx b/src/components/MenuItem.tsx
index a40fd925cd2e..602ecca3518c 100644
--- a/src/components/MenuItem.tsx
+++ b/src/components/MenuItem.tsx
@@ -251,6 +251,9 @@ type MenuItemBaseProps = {
     /** Should we remove the background color of the menu item */
     shouldRemoveBackground?: boolean;
 
+    /** Should we remove the hover background color of the menu item */
+    shouldRemoveHoverBackground?: boolean;
+
     /** Should we use default cursor for disabled content */
     shouldUseDefaultCursorWhenDisabled?: boolean;
 
@@ -411,6 +414,7 @@ function MenuItem(
         shouldEscapeText = undefined,
         shouldGreyOutWhenDisabled = true,
         shouldRemoveBackground = false,
+        shouldRemoveHoverBackground = false,
         shouldUseDefaultCursorWhenDisabled = false,
         shouldShowLoadingSpinnerIcon = false,
         isAnonymousAction = false,
@@ -594,7 +598,7 @@ function MenuItem(
                                             StyleUtils.getButtonBackgroundColorStyle(getButtonState(focused || isHovered, pressed, success, disabled, interactive), true),
                                         ...(Array.isArray(wrapperStyle) ? wrapperStyle : [wrapperStyle]),
                                         shouldGreyOutWhenDisabled && disabled && styles.buttonOpacityDisabled,
-                                        isHovered && interactive && !focused && !pressed && !shouldRemoveBackground && styles.hoveredComponentBG,
+                                        isHovered && interactive && !focused && !pressed && !shouldRemoveBackground && !shouldRemoveHoverBackground && styles.hoveredComponentBG,
                                     ] as StyleProp<ViewStyle>
                                 }
                                 disabledStyle={shouldUseDefaultCursorWhenDisabled && [styles.cursorDefault]}
diff --git a/src/components/PopoverMenu.tsx b/src/components/PopoverMenu.tsx
index 7c8c99d6305d..9aab414971de 100644
--- a/src/components/PopoverMenu.tsx
+++ b/src/components/PopoverMenu.tsx
@@ -8,6 +8,7 @@ import type {ModalProps} from 'react-native-modal';
 import useArrowKeyFocusManager from '@hooks/useArrowKeyFocusManager';
 import useKeyboardShortcut from '@hooks/useKeyboardShortcut';
 import useResponsiveLayout from '@hooks/useResponsiveLayout';
+import useStyleUtils from '@hooks/useStyleUtils';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
 import useWindowDimensions from '@hooks/useWindowDimensions';
@@ -159,6 +160,7 @@ function PopoverMenu({
     shouldUpdateFocusedIndex = true,
 }: PopoverMenuProps) {
     const styles = useThemeStyles();
+    const StyleUtils = useStyleUtils();
     const theme = useTheme();
     // We need to use isSmallScreenWidth instead of shouldUseNarrowLayout to apply correct popover styles
     // eslint-disable-next-line rulesdir/prefer-shouldUseNarrowLayout-instead-of-isSmallScreenWidth
@@ -320,7 +322,8 @@ function PopoverMenu({
                                             }
                                             setFocusedIndex(menuIndex);
                                         }}
-                                        style={{backgroundColor: item.isSelected ? theme.activeComponentBG : undefined}}
+                                        wrapperStyle={StyleUtils.getItemBackgroundColorStyle(!!item.isSelected, focusedIndex === menuIndex, theme.activeComponentBG, theme.hoverComponentBG)}
+                                        shouldRemoveHoverBackground={item.isSelected}
                                         titleStyle={StyleSheet.flatten([styles.flex1, item.titleStyle])}
                                         // eslint-disable-next-line react/jsx-props-no-spreading
                                         {...menuItemProps}
diff --git a/src/components/SelectionList/BaseListItem.tsx b/src/components/SelectionList/BaseListItem.tsx
index f4140f602f40..2926de22e963 100644
--- a/src/components/SelectionList/BaseListItem.tsx
+++ b/src/components/SelectionList/BaseListItem.tsx
@@ -6,6 +6,7 @@ import OfflineWithFeedback from '@components/OfflineWithFeedback';
 import PressableWithFeedback from '@components/Pressable/PressableWithFeedback';
 import useHover from '@hooks/useHover';
 import {useMouseContext} from '@hooks/useMouseContext';
+import useStyleUtils from '@hooks/useStyleUtils';
 import useSyncFocus from '@hooks/useSyncFocus';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
@@ -38,6 +39,7 @@ function BaseListItem<TItem extends ListItem>({
 }: BaseListItemProps<TItem>) {
     const theme = useTheme();
     const styles = useThemeStyles();
+    const StyleUtils = useStyleUtils();
     const {hovered, bind} = useHover();
     const {isMouseDownOnInput, setMouseUp} = useMouseContext();
 
@@ -102,7 +104,7 @@ function BaseListItem<TItem extends ListItem>({
                 tabIndex={item.tabIndex}
                 wrapperStyle={pressableWrapperStyle}
             >
-                <View style={wrapperStyle}>
+                <View style={[wrapperStyle, StyleUtils.getItemBackgroundColorStyle(!!item.isSelected, !!isFocused, theme.activeComponentBG, theme.hoverComponentBG)]}>
                     {typeof children === 'function' ? children(hovered) : children}
 
                     {!canSelectMultiple && item.isSelected && !rightHandSideComponent && (
diff --git a/src/components/SelectionList/Search/TransactionListItem.tsx b/src/components/SelectionList/Search/TransactionListItem.tsx
index f56687550e4d..4fd1ec4cce75 100644
--- a/src/components/SelectionList/Search/TransactionListItem.tsx
+++ b/src/components/SelectionList/Search/TransactionListItem.tsx
@@ -34,7 +34,7 @@ function TransactionListItem<TItem extends ListItem>({
         // Removing background style because they are added to the parent OpacityView via animatedHighlightStyle
         styles.bgTransparent,
         item.isSelected && styles.activeComponentBG,
-        isFocused && styles.sidebarLinkActive,
+        isFocused && styles.hoveredComponentBG,
         styles.mh0,
     ];
 
diff --git a/src/styles/utils/index.ts b/src/styles/utils/index.ts
index 65faa941866a..e1e9d99334e7 100644
--- a/src/styles/utils/index.ts
+++ b/src/styles/utils/index.ts
@@ -1119,6 +1119,19 @@ function getAmountWidth(amount: string): number {
     return width;
 }
 
+function getItemBackgroundColorStyle(isSelected: boolean, isFocused: boolean, selectedBG: string, focusedBG: string): ViewStyle {
+    let backgroundColor;
+    if (isSelected) {
+        backgroundColor = selectedBG;
+    } else if (isFocused) {
+        backgroundColor = focusedBG;
+    }
+
+    return {
+        backgroundColor,
+    };
+}
+
 const staticStyleUtils = {
     positioning,
     combineStyles,
@@ -1193,6 +1206,7 @@ const staticStyleUtils = {
     getAmountWidth,
     getBorderRadiusStyle,
     getHighResolutionInfoWrapperStyle,
+    getItemBackgroundColorStyle,
 };
 
 const createStyleUtils = (theme: ThemeColors, styles: ThemeStyles) => ({
@@ -1211,9 +1225,7 @@ const createStyleUtils = (theme: ThemeColors, styles: ThemeStyles) => ({
     getAutoCompleteSuggestionItemStyle: (highlightedEmojiIndex: number, rowHeight: number, isHovered: boolean, currentEmojiIndex: number): ViewStyle[] => {
         let backgroundColor;
 
-        if (currentEmojiIndex === highlightedEmojiIndex) {
-            backgroundColor = theme.activeComponentBG;
-        } else if (isHovered) {
+        if (isHovered || currentEmojiIndex === highlightedEmojiIndex) {
             backgroundColor = theme.hoverComponentBG;
         }