diff --git a/scripts/setup/create-db.sql b/scripts/setup/create-db.sql
index 33ccfaf60f..96ff54e0ac 100644
--- a/scripts/setup/create-db.sql
+++ b/scripts/setup/create-db.sql
@@ -1,3 +1,8 @@
+\set dbuser :dbuser
+SELECT CASE WHEN :'dbuser' = ':dbuser' THEN 'zulip' ELSE :'dbuser' END AS dbuser \gset
+\set dbname :dbname
+SELECT CASE WHEN :'dbname' = ':dbname' THEN 'zulip' ELSE :'dbname' END AS dbname \gset
+
 \connect postgres
 DROP DATABASE IF EXISTS :"dbname";
 SELECT format($$BEGIN