diff --git a/2d/navigation/README.md b/2d/navigation/README.md
index 5020793917..a06acdbc99 100644
--- a/2d/navigation/README.md
+++ b/2d/navigation/README.md
@@ -1,14 +1,13 @@
 # Navigation Polygon 2D
 
-Example of using 2D navigation using a
-[`NavigationPolygon`](https://docs.godotengine.org/en/latest/classes/class_navigationpolygon.html)
-in a [`NavigationPolygonInstance`](https://docs.godotengine.org/en/latest/classes/class_navigationpolygoninstance.html) node.
-It uses the 2D navigation API to request a path between two points,
-and then traverses the resulting path.
+Example of using 2D navigation using:
+- [`NavigationRegion2D`](https://docs.godotengine.org/en/latest/classes/class_navigationregion2d.html)
+- [`NavigationPolygon`](https://docs.godotengine.org/en/latest/classes/class_navigationpolygon.html)
+- [`NavigationAgent2D`](https://docs.godotengine.org/en/latest/classes/class_navigationagent2d.html)
 
 Language: GDScript
 
-Renderer: GLES 2
+Renderer: Forward+
 
 Check out this demo on the asset library: https://godotengine.org/asset-library/asset/117
 
diff --git a/2d/navigation/character.gd b/2d/navigation/character.gd
new file mode 100644
index 0000000000..aa3354f57f
--- /dev/null
+++ b/2d/navigation/character.gd
@@ -0,0 +1,36 @@
+extends CharacterBody2D
+
+
+var movement_speed: float = 200.0
+@onready var navigation_agent: NavigationAgent2D = $NavigationAgent2D
+
+
+func _ready():
+	# These values need to be adjusted for the actor's speed
+	# and the navigation layout.
+	navigation_agent.path_desired_distance = 2.0
+	navigation_agent.target_desired_distance = 2.0
+	navigation_agent.debug_enabled = true
+
+
+# The "click" event is a custom input action defined in
+# Project > Project Settings > Input Map tab.
+func _unhandled_input(event):
+	if not event.is_action_pressed("click"):
+		return
+	set_movement_target(get_global_mouse_position())
+
+
+func set_movement_target(movement_target: Vector2):
+	navigation_agent.target_position = movement_target
+
+
+func _physics_process(_delta):
+	if navigation_agent.is_navigation_finished():
+		return
+
+	var current_agent_position: Vector2 = global_position
+	var next_path_position: Vector2 = navigation_agent.get_next_path_position()
+
+	velocity = current_agent_position.direction_to(next_path_position) * movement_speed
+	move_and_slide()
diff --git a/2d/navigation/character.png.import b/2d/navigation/character.png.import
index 73275cc31f..c2f105fc58 100644
--- a/2d/navigation/character.png.import
+++ b/2d/navigation/character.png.import
@@ -16,9 +16,9 @@ dest_files=["res://.godot/imported/character.png-7a996d3b758d22c506b76a7c1539128
 [params]
 
 compress/mode=0
+compress/high_quality=false
 compress/lossy_quality=0.7
 compress/hdr_compression=1
-compress/bptc_ldr=0
 compress/normal_map=0
 compress/channel_pack=0
 mipmaps/generate=false
diff --git a/2d/navigation/character.tscn b/2d/navigation/character.tscn
new file mode 100644
index 0000000000..d834ea1bf6
--- /dev/null
+++ b/2d/navigation/character.tscn
@@ -0,0 +1,22 @@
+[gd_scene load_steps=4 format=3 uid="uid://ct7veakwiei3h"]
+
+[ext_resource type="Script" path="res://character.gd" id="1_8uimh"]
+[ext_resource type="Texture2D" uid="uid://b0wokaenwu7pj" path="res://character.png" id="1_rmg12"]
+
+[sub_resource type="CapsuleShape2D" id="CapsuleShape2D_20ukx"]
+radius = 7.0
+height = 22.0
+
+[node name="Character" type="CharacterBody2D"]
+script = ExtResource("1_8uimh")
+
+[node name="Sprite2D" type="Sprite2D" parent="."]
+position = Vector2(0, -3)
+scale = Vector2(0.3, 0.3)
+texture = ExtResource("1_rmg12")
+
+[node name="CollisionShape2D" type="CollisionShape2D" parent="."]
+position = Vector2(0, -3)
+shape = SubResource("CapsuleShape2D_20ukx")
+
+[node name="NavigationAgent2D" type="NavigationAgent2D" parent="."]
diff --git a/2d/navigation/level.tscn b/2d/navigation/level.tscn
deleted file mode 100644
index 71d98eaac3..0000000000
--- a/2d/navigation/level.tscn
+++ /dev/null
@@ -1,32 +0,0 @@
-[gd_scene load_steps=5 format=3 uid="uid://cur17tkfqetf0"]
-
-[ext_resource type="Script" path="res://navigation.gd" id="1"]
-[ext_resource type="Texture2D" uid="uid://bk26gi6qsuh18" path="res://map.png" id="2"]
-[ext_resource type="Texture2D" uid="uid://b0wokaenwu7pj" path="res://character.png" id="3"]
-
-[sub_resource type="NavigationPolygon" id="NavigationPolygon_5ynhe"]
-vertices = PackedVector2Array(682, 496, 696, 300, 704, 507, 495, 256, 589, 270, 540, 284, 466, 177, 490, 169, 531, 178, 477, 205, 446, 196, 621, 510, 667, 525, 606, 519, 529, 290, 288, 228, 228, 180, 276, 160, 315, 190, 600, 497, 576, 503, 202, 99, 314, 65, 311, 83, 436, 170, 452, 163, 201, 440, 246, 478, 223, 490, 211, 485, 146, 400, 185, 381, 586, 178, 596, 188, 474, 252, 462, 127, 479, 150, 416, 180, 395, 516, 302, 499, 320, 450, 354, 445, 535, 516, 538, 106, 537, 173, 493, 166, 506, 97, 514, 51, 486, 83, 327, 77, 309, 96, 306, 113, 272, 153, 219, 172, 178, 152, 148, 224, 189, 231, 171, 328, 176, 347, 259, 404, 432, 249, 365, 346, 525, 342, 314, 340, 271, 336, 241, 321, 235, 284, 242, 247, 324, 336, 616, 360, 645, 381, 645, 404, 614, 492)
-polygons = [PackedInt32Array(0, 1, 2), PackedInt32Array(3, 4, 5), PackedInt32Array(6, 7, 8, 9, 10), PackedInt32Array(11, 0, 2, 12, 13), PackedInt32Array(3, 5, 14), PackedInt32Array(15, 16, 17, 18), PackedInt32Array(19, 11, 13, 20), PackedInt32Array(21, 22, 23), PackedInt32Array(6, 10, 24, 25), PackedInt32Array(26, 27, 28, 29, 30), PackedInt32Array(31, 26, 30), PackedInt32Array(32, 33, 3, 34), PackedInt32Array(18, 35, 36, 25, 24), PackedInt32Array(18, 24, 37), PackedInt32Array(38, 39, 40, 41, 42), PackedInt32Array(43, 44, 45, 46), PackedInt32Array(47, 43, 46, 48), PackedInt32Array(49, 47, 48, 50, 23), PackedInt32Array(21, 23, 50, 51, 52, 53, 54), PackedInt32Array(55, 54, 53, 56), PackedInt32Array(30, 55, 56, 57), PackedInt32Array(30, 57, 58), PackedInt32Array(31, 30, 58), PackedInt32Array(31, 58, 59, 40), PackedInt32Array(40, 59, 41), PackedInt32Array(18, 37, 60, 15), PackedInt32Array(20, 42, 41, 61, 60, 34, 3, 62), PackedInt32Array(63, 64, 65, 66, 67, 15, 60, 68), PackedInt32Array(61, 68, 60), PackedInt32Array(62, 69, 70, 71, 72, 19, 20), PackedInt32Array(62, 3, 14)]
-outlines = [PackedVector2Array(314, 65, 311, 83, 327, 77, 514, 51, 538, 106, 537, 173, 493, 166, 506, 97, 486, 83, 309, 96, 306, 113, 272, 153, 219, 172, 189, 231, 171, 328, 176, 347, 259, 404, 354, 445, 365, 346, 324, 336, 314, 340, 271, 336, 241, 321, 235, 284, 242, 247, 288, 228, 228, 180, 276, 160, 315, 190, 462, 127, 479, 150, 452, 163, 466, 177, 490, 169, 531, 178, 477, 205, 446, 196, 436, 170, 416, 180, 432, 249, 474, 252, 586, 178, 596, 188, 495, 256, 589, 270, 540, 284, 529, 290, 525, 342, 616, 360, 645, 381, 645, 404, 614, 492, 600, 497, 621, 510, 682, 496, 696, 300, 704, 507, 667, 525, 606, 519, 576, 503, 535, 516, 395, 516, 302, 499, 320, 450, 185, 381, 201, 440, 246, 478, 223, 490, 211, 485, 146, 400, 148, 224, 178, 152, 202, 99)]
-
-[node name="Node2D" type="Node2D"]
-script = ExtResource("1")
-
-[node name="Map" type="Sprite2D" parent="."]
-position = Vector2(429.585, 287.32)
-texture = ExtResource("2")
-
-[node name="Camera2D" type="Camera2D" parent="."]
-offset = Vector2(420, 300)
-current = true
-
-[node name="Character" type="Sprite2D" parent="."]
-position = Vector2(228.464, 132.594)
-scale = Vector2(0.5, 0.5)
-texture = ExtResource("3")
-offset = Vector2(0, -26)
-
-[node name="NavigationRegion2d" type="NavigationRegion2D" parent="."]
-navpoly = SubResource("NavigationPolygon_5ynhe")
-
-[node name="NavigationAgent2d" type="NavigationAgent2D" parent="."]
diff --git a/2d/navigation/map.png.import b/2d/navigation/map.png.import
index b57f7a38ef..c38ee70574 100644
--- a/2d/navigation/map.png.import
+++ b/2d/navigation/map.png.import
@@ -16,9 +16,9 @@ dest_files=["res://.godot/imported/map.png-9eea34967fae34f4388f4a32a16da936.ctex
 [params]
 
 compress/mode=0
+compress/high_quality=false
 compress/lossy_quality=0.7
 compress/hdr_compression=1
-compress/bptc_ldr=0
 compress/normal_map=0
 compress/channel_pack=0
 mipmaps/generate=false
diff --git a/2d/navigation/navigation.gd b/2d/navigation/navigation.gd
deleted file mode 100644
index bf00912f2b..0000000000
--- a/2d/navigation/navigation.gd
+++ /dev/null
@@ -1,60 +0,0 @@
-extends Node2D
-
-@export var character_speed: float = 400.0
-var path = []
-
-@onready var character = $Character
-
-#var navmap = NavigationServer2D.map_create()
-
-
-func _ready():
-	pass
-	#NavigationServer2D.region_set_map(navmap, $NavigationRegion2d.get_rid())
-
-
-func _process(delta):
-	character.position = $NavigationAgent2d.get_next_location()
-	var walk_distance = character_speed * delta
-	#move_along_path(walk_distance)
-
-
-# The "click" event is a custom input action defined in
-# Project > Project Settings > Input Map tab.
-func _unhandled_input(event):
-	if not event.is_action_pressed("click"):
-		return
-	_update_navigation_path(Vector2(), get_local_mouse_position())
-
-#func move_along_path(distance):
-#	return
-#	var last_point = character.position
-#	while path.size():
-#		var distance_between_points = last_point.distance_to(path[0])
-#		# The position to move to falls between two points.
-#		if distance <= distance_between_points:
-#			character.position = last_point.lerp(path[0], distance / distance_between_points)
-#			return
-#		# The position is past the end of the segment.
-#		distance -= distance_between_points
-#		last_point = path[0]
-#		path.remove(0)
-#	# The character reached the end of the path.
-#	character.position = last_point
-#	set_process(false)
-
-var drawpos = Vector2()
-func _update_navigation_path(start_position, end_position):
-	# get_simple_path is part of the Node2D class.
-	# It returns a PackedVector2Array of points that lead you
-	# from the start_position to the end_position.
-	$NavigationAgent2d.set_target_location(end_position)
-	drawpos = end_position
-	queue_redraw()
-	# The first point is always the start_position.
-	# We don't need it in this example as it corresponds to the character's position.
-	#path.remove(0)
-	#set_process(true)
-
-func _draw():
-	draw_circle(drawpos, 10, Color.RED)
diff --git a/2d/navigation/navigation.tscn b/2d/navigation/navigation.tscn
new file mode 100644
index 0000000000..4d15597146
--- /dev/null
+++ b/2d/navigation/navigation.tscn
@@ -0,0 +1,18 @@
+[gd_scene load_steps=4 format=3 uid="uid://bjgad00c2xiuc"]
+
+[ext_resource type="Texture2D" uid="uid://bk26gi6qsuh18" path="res://map.png" id="2_nxfkp"]
+[ext_resource type="NavigationPolygon" uid="uid://bk5r48dcijlqt" path="res://navigation_polygon.res" id="3_6c0vu"]
+[ext_resource type="PackedScene" uid="uid://ct7veakwiei3h" path="res://character.tscn" id="4_n6iop"]
+
+[node name="Navigation" type="Node2D"]
+
+[node name="Map" type="Sprite2D" parent="."]
+z_index = -1
+position = Vector2(400, 302)
+texture = ExtResource("2_nxfkp")
+
+[node name="NavigationRegion2D" type="NavigationRegion2D" parent="."]
+navigation_polygon = ExtResource("3_6c0vu")
+
+[node name="Character" parent="." instance=ExtResource("4_n6iop")]
+position = Vector2(211, 141)
diff --git a/2d/navigation/navigation_polygon.res b/2d/navigation/navigation_polygon.res
new file mode 100644
index 0000000000..e42fd471a3
Binary files /dev/null and b/2d/navigation/navigation_polygon.res differ
diff --git a/2d/navigation/project.godot b/2d/navigation/project.godot
index ab5f571d1b..dc9ca6c712 100644
--- a/2d/navigation/project.godot
+++ b/2d/navigation/project.godot
@@ -14,10 +14,10 @@ config/name="Navigation Polygon 2D"
 config/description="Example of using 2D navigation using a NavigationPolygon in a
 NavigationPolygonInstance node. It uses the 2D navigation API to request
 a path between two points, and then traverses the resulting path."
-run/main_scene="res://level.tscn"
-config/features=PackedStringArray("4.0")
-config/icon="res://icon.webp"
 config/tags=PackedStringArray("2d", "ai", "demo", "official")
+run/main_scene="res://navigation.tscn"
+config/features=PackedStringArray("4.1")
+config/icon="res://icon.webp"
 
 [display]
 
@@ -29,7 +29,7 @@ window/stretch/aspect="expand"
 
 click={
 "deadzone": 0.5,
-"events": [Object(InputEventMouseButton,"resource_local_to_scene":false,"resource_name":"","device":0,"window_id":0,"alt_pressed":false,"shift_pressed":false,"ctrl_pressed":false,"meta_pressed":false,"button_mask":0,"position":Vector2(0, 0),"global_position":Vector2(0, 0),"factor":1.0,"button_index":1,"pressed":false,"double_click":false,"script":null)
+"events": [Object(InputEventMouseButton,"resource_local_to_scene":false,"resource_name":"","device":0,"window_id":0,"alt_pressed":false,"shift_pressed":false,"ctrl_pressed":false,"meta_pressed":false,"button_mask":0,"position":Vector2(0, 0),"global_position":Vector2(0, 0),"factor":1.0,"button_index":1,"canceled":false,"pressed":false,"double_click":false,"script":null)
 ]
 }