President Vladimir Putin made the announcement after UK investigators said they believed a bomb was put in the plane's hold prior to take-off, killing all 224 people on board.
The UK has suspended flights to Sharm el-Sheikh and is bringing Britons home. Belguim, France, Ireland and Germany have followed suit.
Militants linked to the Islamic State group (IS) say they downed the plane.
The Metrojet Airbus A321 was flying from Sharm el-Sheikh to St Petersburg when it came down in Sinai on Saturday. Most of the victims were Russian.
Militants from the Sinai Province group, linked to IS, have not said how they destroyed the plane. IS has called for a war against both Russia and the US over their air strikes in Syria.
UK officials said they had received intelligence based on intercepted communications between militants in the Sinai Peninsula, indicating a bomb caused the crash.
However, both Egypt and Russia earlier insisted it was too early to draw conclusions.
Mr Putin's decision to suspend Russian flights to Egypt came after after a recommendation by the head of Russia's FSB security service during a crisis meeting in Moscow.
The Russian leader "has instructed the government to work out mechanisms to ensure Russian citizens return home," his spokesman Dmitry Peskov said.
"The president also issued an instruction to establish co-operation with the Egyptian side to ensure air traffic safety," Mr Pskov said.
Russia says as many as 45,000 Russian holidaymakers are in currently in Egypt. The UK estimates that 19,000 of its nationals remain stranded in Sharm el-Sheikh.
Many Britons were due to return on Friday but one of the main airlines operating from the resort, Easyjet, says its plans have been sharply curtailed by the Egyptian authorities, with only two of its 10 flights leaving.
Egyptian Aviation Minister Hossam Kamal denied banning any flights, but said there was an issue of "capacity" at the airport, with extra security and more planes than usual.
As the investigation into the crashed airliner continues, British officials have not ruled out a technical fault, they think that is increasingly unlikely.
New intelligence was received on Wednesday. The UK government's Joint Terrorism Analysis Centre (JTAC) has spent the past few days assessing what brought the plane down.
Security service investigators suspect someone with access to the aircraft's baggage compartment inserted an explosive device inside or on top of the luggage just before the plane took off.
Sinai Province militants
Most active insurgent group in Egypt, with 1,000-1,500 members
Operating in Sinai Peninsula since 2011
Pledged allegiance to Islamic State group in November 2014
Carries out suicide bombings, shootings, beheadings; dozens of Egyptian soldiers killed.
US President Barack Obama said that he thought there was "a possibility" that there was a bomb on the downed jet.
"We're taking that very seriously," he said.
Since Wednesday, several countries have joined Britain in restricting travel to Sharm el-Sheikh.
Egypt's President Abdul Fattah al-Sisi, who has been on a visit to the UK, told reporters that security at the airport was tightened 10 months ago at the UK's request.
Egypt is leading the investigation into the air disaster, with the help of Russian and other foreign experts.
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