The investment banking arm of VTB (>> Bank VTB PAO), was sole arranger of both Eurobonds sold by Russia last year, raising $3 billion despite doubts voiced about the bonds' prospects given Western sanctions imposed against Russia over its actions in Ukraine..

Konstantin Vyshkovsky, head of the ministry's state debt department, told Reuters that one of VTB Capital, Gazprombank and Sberbank (>> Sberbank Rossii PAO) will be appointed for further bond issues expected later in the year.

Russia has indicated that the first placement this year could be in May or June.

"It was the estimated timeline," Vyshkovsky said on Tuesday, adding that the placement will happen when the market situation provides a "window of opportunity".

Russia's 2017 external borrowing plan envisages raising $7 billion via Eurobonds.

(Reporting by Daria Korsunskya; Writing by Denis Pinchuk; Editing by David Goodman)

Stocks treated in this article : Sberbank Rossii PAO, Bank VTB PAO