Recursion in embedded system

Hi,
Can anybody give an insight whether this is good or not in embedded environment?
I have a function which call itself when a condition is false, see code sample below:

void Test(void)
{
   U8 temp;
   U8 temp1;
   U16 temp2;
   U16 temp3;

   if(some_extern_flag)
   {
      //Exit to this function
   }
   else
   {
     Test();   //Call me again
   }
}

Does it create memory leak when called many times, say 5 times the flag is false, it will call itself 5x?
This function doesn't called from either ISR or other function, just within it.
Will this create a problem later on?

thanks
gp