diff --git a/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.test.ts b/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.test.ts
index 26d425befa2..32bfcb14efc 100644
--- a/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.test.ts
+++ b/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.test.ts
@@ -3,8 +3,8 @@ import { config } from '@grafana/runtime';
 import { SUGGESTIONS_LIMIT } from '../../../language_provider';
 import { FUNCTIONS } from '../../../promql';
 
-import { getCompletions } from './completions';
-import { DataProvider, DataProviderParams } from './data_provider';
+import { filterMetricNames, getCompletions } from './completions';
+import { DataProvider, type DataProviderParams } from './data_provider';
 import type { Situation } from './situation';
 
 const history: string[] = ['previous_metric_name_1', 'previous_metric_name_2', 'previous_metric_name_3'];
@@ -41,6 +41,133 @@ afterEach(() => {
   jest.restoreAllMocks();
 });
 
+describe('filterMetricNames', () => {
+  const sampleMetrics = [
+    'http_requests_total',
+    'http_requests_failed',
+    'node_cpu_seconds_total',
+    'node_memory_usage_bytes',
+    'very_long_metric_name_with_many_underscores_and_detailed_description',
+    'metric_name_1_with_extra_terms_included',
+  ];
+
+  describe('empty input', () => {
+    it('should return all metrics up to limit when input is empty', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: '',
+        limit: 3,
+      });
+      expect(result).toEqual(sampleMetrics.slice(0, 3));
+    });
+
+    it('should return all metrics when input is whitespace', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: '   ',
+        limit: 3,
+      });
+      expect(result).toEqual(sampleMetrics.slice(0, 3));
+    });
+  });
+
+  describe('simple searches (≤ 4 terms)', () => {
+    it('should match exact strings', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'http_requests_total',
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+    });
+
+    it('should match with single character errors', () => {
+      // substitution
+      let result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'http_requezts_total', // 's' replaced with 'z'
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+
+      // ransposition
+      result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'http_reqeust_total', // 'ue' swapped
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+
+      // deletion
+      result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'http_reqests_total', // missing 'u'
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+
+      // insertion
+      result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'http_reqquests_total', // extra 'q'
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+    });
+
+    it('should match partial strings', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'requests', // partial match
+        limit: 10,
+      });
+      expect(result).toContainEqual('http_requests_total');
+      expect(result).toContainEqual('http_requests_failed');
+    });
+
+    it('should not match with multiple errors', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'htp_reqests_total', // two errors: missing 't' and missing 'u'
+        limit: 10,
+      });
+      expect(result).not.toContainEqual('http_requests_total');
+    });
+  });
+
+  describe('complex searches (> 4 terms)', () => {
+    it('should use substring matching for each term', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'metric name 1 with extra terms',
+        limit: 10,
+      });
+      expect(result).toContainEqual('metric_name_1_with_extra_terms_included');
+    });
+
+    it('should return empty array when no metrics match all terms', () => {
+      const result = filterMetricNames({
+        metricNames: sampleMetrics,
+        inputText: 'metric name 1 with nonexistent terms',
+        limit: 10,
+      });
+      expect(result).toHaveLength(0);
+    });
+
+    it('should stop searching after limit is reached', () => {
+      const manyMetrics = Array.from({ length: 10 }, (_, i) => `metric_name_${i}_with_terms`);
+
+      const result = filterMetricNames({
+        metricNames: manyMetrics,
+        inputText: 'metric name with terms other words', // > 4 terms
+        limit: 3,
+      });
+
+      expect(result.length).toBeLessThanOrEqual(3);
+    });
+  });
+});
+
 type MetricNameSituation = Extract<Situation['type'], 'AT_ROOT' | 'EMPTY' | 'IN_FUNCTION'>;
 const metricNameCompletionSituations = ['AT_ROOT', 'IN_FUNCTION', 'EMPTY'] as MetricNameSituation[];
 
@@ -74,22 +201,22 @@ describe.each(metricNameCompletionSituations)('metric name completions in situat
     expect(completions?.length).toBeLessThanOrEqual(expectedCompletionsCount);
   });
 
-  it('should limit completions for metric names when the number of metric names is greater than the limit', async () => {
+  it('should limit completions for metric names when the number exceeds the limit', async () => {
     const situation: Situation = {
       type: situationType,
     };
     const expectedCompletionsCount = getSuggestionCountForSituation(situationType, metrics.beyondLimit.length);
     jest.spyOn(dataProvider, 'getAllMetricNames').mockReturnValue(metrics.beyondLimit);
 
-    // No text input
-    dataProvider.monacoSettings.setInputInRange('');
+    // Complex query
+    dataProvider.monacoSettings.setInputInRange('metric name one two three four five');
     let completions = await getCompletions(situation, dataProvider);
-    expect(completions).toHaveLength(expectedCompletionsCount);
+    expect(completions.length).toBeLessThanOrEqual(expectedCompletionsCount);
 
-    // With text input (use fuzzy search)
-    dataProvider.monacoSettings.setInputInRange('name_1');
+    // Simple query with fuzzy match
+    dataProvider.monacoSettings.setInputInRange('metric_name_');
     completions = await getCompletions(situation, dataProvider);
-    expect(completions?.length).toBeLessThanOrEqual(expectedCompletionsCount);
+    expect(completions.length).toBeLessThanOrEqual(expectedCompletionsCount);
   });
 
   it('should enable autocomplete suggestions update when the number of metric names is greater than the limit', async () => {
@@ -115,4 +242,35 @@ describe.each(metricNameCompletionSituations)('metric name completions in situat
     await getCompletions(situation, dataProvider);
     expect(dataProvider.monacoSettings.suggestionsIncomplete).toBe(true);
   });
+
+  it('should handle complex queries efficiently', async () => {
+    const situation: Situation = {
+      type: situationType,
+    };
+
+    const testMetrics = ['metric_name_1', 'metric_name_2', 'metric_name_1_with_extra_terms', 'unrelated_metric'];
+    jest.spyOn(dataProvider, 'getAllMetricNames').mockReturnValue(testMetrics);
+
+    // Test with a complex query (> 4 terms)
+    dataProvider.monacoSettings.setInputInRange('metric name 1 with extra terms more');
+    const completions = await getCompletions(situation, dataProvider);
+
+    const metricCompletions = completions.filter((c) => c.type === 'METRIC_NAME');
+    expect(metricCompletions.some((c) => c.label === 'metric_name_1_with_extra_terms')).toBe(true);
+  });
+
+  it('should handle multiple term queries efficiently', async () => {
+    const situation: Situation = {
+      type: situationType,
+    };
+
+    jest.spyOn(dataProvider, 'getAllMetricNames').mockReturnValue(metrics.beyondLimit);
+
+    // Test with multiple terms
+    dataProvider.monacoSettings.setInputInRange('metric name 1 2 3 4 5');
+    const completions = await getCompletions(situation, dataProvider);
+
+    const expectedCompletionsCount = getSuggestionCountForSituation(situationType, metrics.beyondLimit.length);
+    expect(completions.length).toBeLessThanOrEqual(expectedCompletionsCount);
+  });
 });
diff --git a/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.ts b/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.ts
index d93338c5ea5..95c16738d55 100644
--- a/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.ts
+++ b/packages/grafana-prometheus/src/components/monaco-query-field/monaco-completion-provider/completions.ts
@@ -22,7 +22,31 @@ type Completion = {
   triggerOnInsert?: boolean;
 };
 
-const metricNamesSearchClient = new UFuzzy({ intraMode: 1 });
+const metricNamesSearch = {
+  // see https://github.com/leeoniya/uFuzzy?tab=readme-ov-file#how-it-works for details
+  multiInsert: new UFuzzy({ intraMode: 0 }),
+  singleError: new UFuzzy({ intraMode: 1 }),
+};
+
+interface MetricFilterOptions {
+  metricNames: string[];
+  inputText: string;
+  limit: number;
+}
+
+export function filterMetricNames({ metricNames, inputText, limit }: MetricFilterOptions): string[] {
+  if (!inputText?.trim()) {
+    return metricNames.slice(0, limit);
+  }
+
+  const terms = metricNamesSearch.multiInsert.split(inputText); // e.g. 'some_metric_name or-another' -> ['some', 'metric', 'name', 'or', 'another']
+  const isComplexSearch = terms.length > 4;
+  const fuzzyResults = isComplexSearch
+    ? metricNamesSearch.multiInsert.filter(metricNames, inputText) // for complex searches, prioritize performance by using MultiInsert fuzzy search
+    : metricNamesSearch.singleError.filter(metricNames, inputText); // for simple searches, prioritize flexibility by using SingleError fuzzy search
+
+  return fuzzyResults ? fuzzyResults.slice(0, limit).map((idx) => metricNames[idx]) : [];
+}
 
 // we order items like: history, functions, metrics
 function getAllMetricNamesCompletions(dataProvider: DataProvider): Completion[] {
@@ -36,11 +60,11 @@ function getAllMetricNamesCompletions(dataProvider: DataProvider): Completion[]
     monacoSettings.enableAutocompleteSuggestionsUpdate();
 
     if (monacoSettings.inputInRange) {
-      metricNames =
-        metricNamesSearchClient
-          .filter(metricNames, monacoSettings.inputInRange)
-          ?.slice(0, dataProvider.metricNamesSuggestionLimit)
-          .map((idx) => metricNames[idx]) ?? [];
+      metricNames = filterMetricNames({
+        metricNames,
+        inputText: monacoSettings.inputInRange,
+        limit: dataProvider.metricNamesSuggestionLimit,
+      });
     } else {
       metricNames = metricNames.slice(0, dataProvider.metricNamesSuggestionLimit);
     }
diff --git a/packages/grafana-prometheus/tsconfig.json b/packages/grafana-prometheus/tsconfig.json
index 169e37aca11..bfab9da4959 100644
--- a/packages/grafana-prometheus/tsconfig.json
+++ b/packages/grafana-prometheus/tsconfig.json
@@ -6,7 +6,8 @@
     "emitDeclarationOnly": true,
     "isolatedModules": true,
     "allowJs": true,
-    "rootDirs": ["."]
+    "rootDirs": ["."],
+    "resolveJsonModule": true
   },
   "exclude": ["dist/**/*"],
   "extends": "@grafana/tsconfig",