The Mi-17 is an improved development of the Mi-8. The airframe structure, transport capabilities and equipment are essentially identical with those of the Mi-8. There are some features which make it different from the Mi-8 - engine intakes have deflectors to separate solid particles in the air (sand, dust etc.) and prevent them from ingestion. The Mi-17 can be recognized because it has the tail rotor at the starboard side, instead of the port side.

The Mi-17 added a number of improvements to its predecessor, including a vibration damper to increase comfort for crew members and passengers. It is equipped with an outstanding navigation and information system and state-of-the-art communication devices, which permit safe transportation of passengers even in very adverse weather conditions by day or night. The helicopter features a high thrust-to-weight ratio pair of TVZ-117MT or TVZ-117VM shaft-turbine engines with a takeoff power of 1,900 hp. The Mi-17 is capable of single-engine flight in the event of loss of power by one engine (depending on aircraft mission weight) because of an engine load sharing system. If one engine fails, the other engine's output is automatically increased to allow continued flight.