diff --git a/changelogs/fragments/83755-ini-new-interpolation-option.yml b/changelogs/fragments/83755-ini-new-interpolation-option.yml
new file mode 100644
index 00000000000..03b7fe1c3dc
--- /dev/null
+++ b/changelogs/fragments/83755-ini-new-interpolation-option.yml
@@ -0,0 +1,2 @@
+minor_changes:
+  - ini lookup - add new ``interpolation`` option (https://github.com/ansible/ansible/issues/83755)
diff --git a/lib/ansible/plugins/lookup/ini.py b/lib/ansible/plugins/lookup/ini.py
index cdc9a1540cd..9d5c289e1fa 100644
--- a/lib/ansible/plugins/lookup/ini.py
+++ b/lib/ansible/plugins/lookup/ini.py
@@ -49,6 +49,12 @@ DOCUMENTATION = """
         default: False
         aliases: ['allow_none']
         version_added: '2.12'
+      interpolation:
+        description:
+          Allows for interpolation of values, see https://docs.python.org/3/library/configparser.html#configparser.BasicInterpolation
+        type: bool
+        default: True
+        version_added: '2.18'
     seealso:
       - ref: playbook_task_paths
         description: Search paths used for relative files.
@@ -140,7 +146,10 @@ class LookupModule(LookupBase):
         self.set_options(var_options=variables, direct=kwargs)
         paramvals = self.get_options()
 
-        self.cp = configparser.ConfigParser(allow_no_value=paramvals.get('allow_no_value', paramvals.get('allow_none')))
+        self.cp = configparser.ConfigParser(
+            allow_no_value=paramvals.get('allow_no_value', paramvals.get('allow_none')),
+            interpolation=configparser.BasicInterpolation() if paramvals.get('interpolation') else None,
+        )
         if paramvals['case_sensitive']:
             self.cp.optionxform = to_native
 
diff --git a/test/integration/targets/lookup_ini/interpolation.ini b/test/integration/targets/lookup_ini/interpolation.ini
new file mode 100644
index 00000000000..afac6ec0b1f
--- /dev/null
+++ b/test/integration/targets/lookup_ini/interpolation.ini
@@ -0,0 +1,3 @@
+[global]
+home_dir: /Users
+my_dir: %(home_dir)s/lumberjack
diff --git a/test/integration/targets/lookup_ini/nointerpolation.ini b/test/integration/targets/lookup_ini/nointerpolation.ini
new file mode 100644
index 00000000000..c34e74cc0cb
--- /dev/null
+++ b/test/integration/targets/lookup_ini/nointerpolation.ini
@@ -0,0 +1,2 @@
+[global]
+Exec=/bin/program run %u
diff --git a/test/integration/targets/lookup_ini/test_ini.yml b/test/integration/targets/lookup_ini/test_ini.yml
index 11a5e57a794..f8f6fea0474 100644
--- a/test/integration/targets/lookup_ini/test_ini.yml
+++ b/test/integration/targets/lookup_ini/test_ini.yml
@@ -2,3 +2,4 @@
 - import_playbook: test_errors.yml
 - import_playbook: test_case_sensitive.yml
 - import_playbook: test_allow_no_value.yml
+- import_playbook: test_interpolation.yml
diff --git a/test/integration/targets/lookup_ini/test_interpolation.yml b/test/integration/targets/lookup_ini/test_interpolation.yml
new file mode 100644
index 00000000000..03c335ecc07
--- /dev/null
+++ b/test/integration/targets/lookup_ini/test_interpolation.yml
@@ -0,0 +1,8 @@
+- hosts: testhost
+  gather_facts: false
+  tasks:
+    - name: Test interpolation
+      assert:
+        that:
+          - lookup('ini', 'my_dir', file='interpolation.ini') == '/Users/lumberjack'
+          - lookup('ini', 'Exec', file='nointerpolation.ini', interpolation=false) == '/bin/program run %u'