US President Barack Obama has announced further economic sanctions against Russia after a failure to halt provocations in Ukraine. The increased pressure is designed to end the insurgency in eastern Ukraine, which is widely believed to be backed by Russia.
"Finally, given its continued provocations in Ukraine, today I have approved a new set of sanctions on some of Russia’s largest companies and financial institutions," Barack Obama said.
"Along with our allies, with whom I have been coordinating closely for the last several days and weeks, I’ve repeatedly made it clear that Russia must halt the flow of weapons and fighters across the border into Ukraine; that Russia must urge separatists to release their hostages and support a ceasefire; that Russia needs to pursue internationally mediated talks and agree to meaningful monitors on the border."
European leaders have also ordered stepped-up economic sanctions against Russia. Obama said he preferred a diplomatic solution, but Russia had shown no commitment to ending the conflict. He said the latest sanctions were designed to target Russian energy firms and financial institutions as well as weapons manufacturers, while limiting the financial effects on US companies and European allies. Russian President Vladimir Putin warned that US sanctions will take relations with Russia to a "dead end."