A senior Russian finance official says the London Club of international creditors has agreed to re-schedule the repayment of some of Russia's outstanding Soviet-era debts.

The official, deputy finance minister, Mikhail Kasyanov, was speaking after talks with the London Club which groups western commercial banks.

Mr Kasyanov said the first repayments would begin in a week's time.

The new agreement covers a portion of the billions of dollars Russia owes to mainly western creditors.