diff --git a/changelogs/fragments/7567.yml b/changelogs/fragments/7567.yml
new file mode 100644
index 000000000000..70cfde199196
--- /dev/null
+++ b/changelogs/fragments/7567.yml
@@ -0,0 +1,2 @@
+fix:
+- Fixes databases not being displayed upon success ([#7567](https://github.com/opensearch-project/OpenSearch-Dashboards/pull/7567))
\ No newline at end of file
diff --git a/src/plugins/data/public/ui/dataset_navigator/dataset_navigator.tsx b/src/plugins/data/public/ui/dataset_navigator/dataset_navigator.tsx
index eeb3f7085515..bfeaad00bd4e 100644
--- a/src/plugins/data/public/ui/dataset_navigator/dataset_navigator.tsx
+++ b/src/plugins/data/public/ui/dataset_navigator/dataset_navigator.tsx
@@ -286,6 +286,29 @@ export const DataSetNavigator: React.FC<DataSetNavigatorProps> = ({
     [selectedDataSetState?.dataSourceRef, tablesLoadStatus, startLoadingTables]
   );
 
+  useEffect(() => {
+    const status = databasesLoadStatus.toLowerCase();
+    if (
+      selectedDataSetState?.dataSourceRef &&
+      selectedDataSetState.dataSourceRef.type === SIMPLE_DATA_SOURCE_TYPES.EXTERNAL
+    ) {
+      const dataSourceCache = CatalogCacheManager.getOrCreateDataSource(
+        selectedDataSetState.dataSourceRef.name,
+        selectedDataSetState.dataSourceRef.id
+      );
+      if (status === DirectQueryLoadingStatus.SUCCESS) {
+        setCachedDatabases(
+          dataSourceCache.databases.map((db) => ({ id: db.name, title: db.name }))
+        );
+      } else if (
+        status === DirectQueryLoadingStatus.CANCELED ||
+        status === DirectQueryLoadingStatus.FAILED
+      ) {
+        notifications.toasts.addWarning('Error loading databases');
+      }
+    }
+  }, [databasesLoadStatus, selectedDataSetState?.dataSourceRef, notifications.toasts]);
+
   useEffect(() => {
     if (
       selectedDataSetState?.dataSourceRef &&