--- a/mercurial/extensions.py	Tue Dec 06 17:06:39 2016 +0000
+++ b/mercurial/extensions.py	Mon Dec 05 06:46:51 2016 +0530
@@ -60,6 +60,8 @@
 def loadpath(path, module_name):
     module_name = module_name.replace('.', '_')
     path = util.normpath(util.expandpath(path))
+    module_name = pycompat.fsdecode(module_name)
+    path = pycompat.fsdecode(path)
     if os.path.isdir(path):
         # module/__init__.py style
         d, f = os.path.split(path)