diff --git a/src/pages/home/report/AnimatedEmptyStateBackground.tsx b/src/pages/home/report/AnimatedEmptyStateBackground.tsx
index 7ddbdaef687b..7559361ecc3d 100644
--- a/src/pages/home/report/AnimatedEmptyStateBackground.tsx
+++ b/src/pages/home/report/AnimatedEmptyStateBackground.tsx
@@ -1,23 +1,52 @@
 import React from 'react';
-import {Image} from 'react-native';
+import Animated, {clamp, SensorType, useAnimatedSensor, useAnimatedStyle, useReducedMotion, useSharedValue, withSpring} from 'react-native-reanimated';
 import useStyleUtils from '@hooks/useStyleUtils';
 import useThemeIllustrations from '@hooks/useThemeIllustrations';
 import useWindowDimensions from '@hooks/useWindowDimensions';
 import variables from '@styles/variables';
 import CONST from '@src/CONST';
 
+// Maximum horizontal and vertical shift in pixels on sensor value change
+const IMAGE_OFFSET_X = 30;
+const IMAGE_OFFSET_Y = 20;
+
 function AnimatedEmptyStateBackground() {
     const StyleUtils = useStyleUtils();
     const {windowWidth, isSmallScreenWidth} = useWindowDimensions();
     const illustrations = useThemeIllustrations();
-
     // If window width is greater than the max background width, repeat the background image
     const maxBackgroundWidth = variables.sideBarWidth + CONST.EMPTY_STATE_BACKGROUND.ASPECT_RATIO * CONST.EMPTY_STATE_BACKGROUND.WIDE_SCREEN.IMAGE_HEIGHT;
 
+    // Get data from phone rotation sensor and prep other variables for animation
+    const animatedSensor = useAnimatedSensor(SensorType.GYROSCOPE);
+    const xOffset = useSharedValue(0);
+    const yOffset = useSharedValue(0);
+    const isReducedMotionEnabled = useReducedMotion();
+
+    // Apply data to create style object
+    const animatedStyles = useAnimatedStyle(() => {
+        if (!isSmallScreenWidth || isReducedMotionEnabled) {
+            return {};
+        }
+        /*
+         * We use x and y gyroscope velocity and add it to position offset to move background based on device movements.
+         * Position the phone was in while entering the screen is the initial position for background image.
+         */
+        const {x, y} = animatedSensor.sensor.value;
+        // The x vs y here seems wrong but is the way to make it feel right to the user
+        xOffset.value = clamp(xOffset.value + y * CONST.ANIMATION_GYROSCOPE_VALUE, -IMAGE_OFFSET_X, IMAGE_OFFSET_X);
+        yOffset.value = clamp(yOffset.value - x * CONST.ANIMATION_GYROSCOPE_VALUE, -IMAGE_OFFSET_Y, IMAGE_OFFSET_Y);
+        return {
+            // On Android, scroll view sub views gets clipped beyond container bounds. Set the top position so that image wouldn't get clipped
+            top: IMAGE_OFFSET_Y,
+            transform: [{translateX: withSpring(xOffset.value)}, {translateY: withSpring(yOffset.value, {overshootClamping: true})}, {scale: 1.15}],
+        };
+    }, [isReducedMotionEnabled]);
+
     return (
-        <Image
+        <Animated.Image
             source={illustrations.EmptyStateBackgroundImage}
-            style={StyleUtils.getReportWelcomeBackgroundImageStyle(isSmallScreenWidth)}
+            style={[StyleUtils.getReportWelcomeBackgroundImageStyle(isSmallScreenWidth), animatedStyles]}
             resizeMode={windowWidth > maxBackgroundWidth ? 'repeat' : 'cover'}
         />
     );