This paper proposes the novel V/f control method to improve the stability of a V/f controlled induction motor drive system. The conventional V/f control method used in the proposed V/f control method is a vector-based method that is slightly different from the existing conventional V/f control method. The proposed control method uses a dynamic current compensator to improve the stability of a V/f controlled induction motor drive system. This proposed method is easy to implement and completely eliminates the motor oscillation phenomenon causing the instability of a V/f controlled induction motor drive system, especially when the system is driven near the resonant frequency in steady-state with light load. Additionally, this paper analyzes theoretically the instability of a V/f controlled induction motor drive system and shows the validity of the Proposed V/f control method through simulation and experimental results.