Russia is offering a yield of seven percent on a top-up for Eurobond issue maturing in 2018 down from initial guidance of around 7.125 percent but still above levels seen on the secondary market.

Now the issue is trading at 6.687/6.609 percent, and banking sources said on Wednesday the top-up may reach 40 billion roubles.

Initially Russia was planning to raise up to $3 billion but has cut the amount of issue after turmoil in the Middle East curbed risk appetite.

In February, Russia raised 40 billion roubles with its first ever rouble Eurobond, selling the debt with a yield of 7.85 percent, down from initial guidance of around 8 percent.

The placement is organised by VTB Capital, Renaissance Capital, JP Morgan, Deutsche Bank and HSBC.