diff --git a/CHANGELOG/v1.17.1.md b/CHANGELOG/v1.17.1.md
new file mode 100644
index 00000000000..d60550ba57c
--- /dev/null
+++ b/CHANGELOG/v1.17.1.md
@@ -0,0 +1,29 @@
+## Changes by Kind
+
+### Bug or Regression
+
+- Improves MachinePool scale up/down to avoid unnecessary VMSS VM model updates ([#5203](https://github.com/kubernetes-sigs/cluster-api-provider-azure/pull/5203), [@mweibel](https://github.com/mweibel))
+
+### Other (Cleanup or Flake)
+
+- Bump CAPI to v1.8.4 ([#5190](https://github.com/kubernetes-sigs/cluster-api-provider-azure/pull/5190), [@mboersma](https://github.com/mboersma))
+
+### Uncategorized
+
+- Custom build templates to use curl when az login fails ([#5173](https://github.com/kubernetes-sigs/cluster-api-provider-azure/pull/5173), [@nawazkh](https://github.com/nawazkh))
+
+## Dependencies
+
+### Added
+_Nothing has changed._
+
+### Changed
+- sigs.k8s.io/cluster-api/test: v1.8.3 → v1.8.4
+- sigs.k8s.io/cluster-api: v1.8.3 → v1.8.4
+
+### Removed
+_Nothing has changed._
+
+## Details
+<!-- markdown-link-check-disable-next-line -->
+https://github.com/kubernetes-sigs/cluster-api-provider-azure/compare/v1.17.0...v1.17.1