Russian President Vladimir Putin and German Chancellor Angela Merkel are holding conversation in Sochi, during which it was planned to discuss key international problems, including fight against terrorism, situation in the Middle east and implementation of the Minsk agreements on settlement of the Ukrainian crisis, RIA Novosti reported.

Merkel noted that she also expects to discuss with Putin the situation in Libya and development of Russia-Germany bilateral relations.

Negotiations are taking place in the residence of the Russian leader. Foreign Minister Sergey Lavrov, Presidential Aides Yuri Ushakov and Vladislav Surkov are representing the Russian side. Foreign and security policy adviser Christoph Heusgen, economic advisor Lars-Hendrik Röller and Merkel's chief adviser on European affairs Uwe Corsepius are from the German side.