diff --git a/.github/workflows/test.yml b/.github/workflows/test.yml
index 325305e4f5e4..099817208d38 100644
--- a/.github/workflows/test.yml
+++ b/.github/workflows/test.yml
@@ -38,39 +38,43 @@ jobs:
         with:
           PATTERNS: |
             **/**.go
-            go.mod
-            go.sum
+            **/go.mod
+            **/go.sum
       - name: Build
         run: GOARCH=${{ matrix.go-arch }} LEDGER_ENABLED=false make build
 
-  test-cosmovisor:
+      - name: Build cosmovisor
+        run: GOARCH=${{ matrix.go-arch }} LEDGER_ENABLED=false make cosmovisor
+
+  test-submodules:
     runs-on: ubuntu-latest
     steps:
       - uses: actions/checkout@v2
       - uses: actions/setup-go@v2.1.4
         with:
           go-version: 1.17
-      - name: Display go version
-        run: go version
       - uses: technote-space/get-diff-action@v5
         id: git_diff
         with:
-          PREFIX_FILTER: |
-            cosmovisor
           PATTERNS: |
             **/**.go
             go.mod
             go.sum
-      - name: Run cosmovisor tests
-        run: cd cosmovisor; make
+      - name: Run submodule tests and create test coverage profile.
+        # GIT_DIFF is passed to the scripts
+        run: bash scripts/module-tests.sh
         if: env.GIT_DIFF
+      - uses: actions/upload-artifact@v2
+        with:
+          name: "${{ github.sha }}-go-submodules-coverage"
+          path: ./coverage-go-submod-profile.out
 
   split-test-files:
     runs-on: ubuntu-latest
     steps:
       - uses: actions/checkout@v2
-      - name: Create a file with all the pkgs
-        run: go list ./... > pkgs.txt
+      - name: Create a file with all core Cosmos SDK pkgs
+        run:  go list ./... > pkgs.txt
       - name: Split pkgs into 4 files
         run: split -d -n l/4 pkgs.txt pkgs.txt.part.
       # cache multiple
@@ -149,6 +153,10 @@ jobs:
         with:
           name: "${{ github.sha }}-03-coverage"
         if: env.GIT_DIFF
+      - uses: actions/download-artifact@v2
+        with:
+          name: "${{ github.sha }}-go-submodules-coverage"
+        if: env.GIT_DIFF
       - run: |
           cat ./*profile.out | grep -v "mode: atomic" >> coverage.txt
         if: env.GIT_DIFF
diff --git a/scripts/module-tests.sh b/scripts/module-tests.sh
new file mode 100644
index 000000000000..c34ec9106886
--- /dev/null
+++ b/scripts/module-tests.sh
@@ -0,0 +1,46 @@
+#!/usr/bin/env bash
+
+# this script is used by Github CI to tranverse all modules an run module tests.
+# the script expects a diff to be generated in order to skip some modules.
+
+# Executes go module tests and merges the coverage profile.
+# If GIT_DIFF variable is set then it's used to test if a module has any file changes - if
+# it doesn't have any file changes then we will ignore the module tests.
+execute_mod_tests() {
+    go_mod=$1;
+    mod_dir=$(dirname "$go_mod");
+    mod_dir=${mod_dir:2}; # remove "./" prefix
+    root_dir=$(pwd);
+
+    # TODO: in the future we will need to disable it once we go into multi module setup, because
+    # we will have cross module dependencies.
+    if [ -n "$GIT_DIFF" ] && ! grep $mod_dir <<< $GIT_DIFF; then
+        echo "ignoring module $mod_dir - no changes in the module";
+        return;
+    fi;
+
+    echo "executing $go_mod tests"
+    cd $mod_dir;
+    go test -mod=readonly -timeout 30m -coverprofile=${root_dir}/${coverage_file}.tmp -covermode=atomic -tags='norace ledger test_ledger_mock'  ./...
+    local ret=$?
+    echo "test return: " $ret;
+    cd -;
+    # strip mode statement
+    tail -n +1 ${coverage_file}.tmp >> ${coverage_file}
+    rm ${coverage_file}.tmp;
+    return $ret;
+}
+
+GIT_DIFF=`git status --porcelain`
+
+coverage_file=coverage-go-submod-profile.out
+return_val=0;
+
+for f in $(find -name go.mod -not -path "./go.mod") "./container/go.mod"; do
+    execute_mod_tests $f;
+    if [[ $? -ne 0  ]] ; then
+        return_val=2;
+    fi;
+done
+
+exit $return_val;