diff --git a/ChangeLog.md b/ChangeLog.md
index a6d8fa8..49722a5 100644
--- a/ChangeLog.md
+++ b/ChangeLog.md
@@ -2,6 +2,11 @@
 
 ## Unreleased changes
 
+## 0.29.1
+
+- Improve reconnect handling. If the request to the node times out or fails due
+  to resource exhaustion then the connection to the node is longer reset.
+
 ## 0.29.0
 
 - Add an optional `success` field to the `transactionStatus` response if
diff --git a/deps/concordium-client b/deps/concordium-client
index fd3b287..ec19ec9 160000
--- a/deps/concordium-client
+++ b/deps/concordium-client
@@ -1 +1 @@
-Subproject commit fd3b2877118ffb759d93ff6758e64c2a713e03fe
+Subproject commit ec19ec97e50ecca82e2365874b39e7be45a93d5d
diff --git a/package.yaml b/package.yaml
index 39014b5..b489ad3 100644
--- a/package.yaml
+++ b/package.yaml
@@ -1,5 +1,5 @@
 name:                wallet-proxy
-version:             0.29.0
+version:             0.29.1
 github:              "Concordium/concordium-wallet-proxy"
 author:              "Concordium"
 maintainer:          "developers@concordium.com"
diff --git a/src/Proxy.hs b/src/Proxy.hs
index 42f3063..88085f1 100644
--- a/src/Proxy.hs
+++ b/src/Proxy.hs
@@ -59,7 +59,7 @@ import qualified Database.Esqueleto.Legacy as E
 import qualified Database.Esqueleto.PostgreSQL.JSON as EJ
 import Lens.Micro.Platform hiding ((.=))
 import Network.GRPC.HTTP2.Types (GRPCStatusCode (..))
-import Network.HTTP.Types (Status, badGateway502, badRequest400, internalServerError500, notFound404)
+import Network.HTTP.Types (Status, badGateway502, badRequest400, internalServerError500, notFound404, serviceUnavailable503)
 import System.Random
 import Text.Read hiding (String)
 import Web.Cookie
@@ -174,7 +174,7 @@ share
     total_supply (Ratio Integer)
   |]
 
-data ErrorCode = InternalError | RequestInvalid | DataNotFound
+data ErrorCode = InternalError | RequestInvalid | DataNotFound | Unavailable
     deriving (Eq, Show, Enum)
 
 -- | Configuration for the @appSettings@ endpoint that returns whether the app is
@@ -446,6 +446,18 @@ runGRPCWithCustomError resp c k = do
                 StatusNotOk (NOT_FOUND, err) -> do
                     return $
                         Left (StatusNotOkError NOT_FOUND, notFound404, DataNotFound, EMGRPCErrorResponse $ "Requested object was not found: " <> err)
+                -- GRPC response with status code 'CANCELLED', i.e., the server timed out the request.
+                StatusNotOk (CANCELLED, err) -> do
+                    return $
+                        Left (StatusNotOkError CANCELLED, serviceUnavailable503, Unavailable, EMGRPCErrorResponse $ "The node is overloaded so the request was cancelled: " <> err)
+                -- GRPC response with status code 'RESOURCE_EXHAUSTED'.
+                StatusNotOk (RESOURCE_EXHAUSTED, err) -> do
+                    return $
+                        Left (StatusNotOkError RESOURCE_EXHAUSTED, serviceUnavailable503, Unavailable, EMGRPCErrorResponse $ "The node is overloaded so the request was cancelled: " <> err)
+                -- GRPC response with status code 'DEADLINE_EXCEEDED'
+                StatusNotOk (DEADLINE_EXCEEDED, err) -> do
+                    return $
+                        Left (StatusNotOkError DEADLINE_EXCEEDED, serviceUnavailable503, Unavailable, EMGRPCErrorResponse $ "The node is overloaded so the request was cancelled: " <> err)
                 -- GRPC response with valid non-'OK' status code.
                 StatusNotOk (status, err) -> do
                     $(logError) $ "Got non-OK GRPC status code '" <> Text.pack (show status) <> "': " <> Text.pack err
diff --git a/stack.yaml b/stack.yaml
index cfa3de3..a4d17bf 100644
--- a/stack.yaml
+++ b/stack.yaml
@@ -49,7 +49,7 @@ extra-deps:
   commit: 4e9058db74e7a27dee0c92c4a754086e8a45a592
 
 - github: Concordium/http2-grpc-haskell
-  commit: a4a0a31d44f754bf61868552ee5b256d94eed4de
+  commit: e52874ac2923f5177696e6dd4251fdb0f7dda87b
   subdirs:
     - http2-client-grpc
     - http2-grpc-proto-lens