G7 leaders warn Russia of fresh sanctions

Leaders of the G7 industrial nations meeting in Brussels said they are prepared to impose further sanctions on Russia over its actions in Ukraine. A joint statement condemned Moscow for its "continuing violation" of Ukraine's sovereignty.

The summit is the first since Russia was expelled from the G7 following its annexation of Crimea in March. Earlier in Poland, US President Barack Obama warned Moscow against what he called its "dark tactics" in Ukraine.

Obama is on a three-state European tour ending with the 70th anniversary of the D-Day landings in France on Friday. Russian President Vladimir Putin will also attend the ceremony.

Although President Putin is not attending the Brussels summit, he will hold face-to-face talks with some G7 leaders - not including President Obama - in Paris afterwards.

The BBC's Chris Morris in Brussels says diplomacy has intensified to try to resolve the biggest crisis in years between Russia and the West. German Chancellor Angela Merkel said tougher sanctions against Russia were an option.

G7 leaders gathered in Brussels on Wednesday evening for the summit's opening dinner.

"We are united in condemning the Russian Federation's continuing violation of the sovereignty and territorial integrity of Ukraine," the leaders said in a joint statement.

"We stand ready to intensify targeted sanctions and consider meaningful additional restrictive measures to impose further costs on Russia should events so require," it said.

Merkel said, "We can't afford a further destabilisation of Ukraine."

"We have made clear that we want to continue with our three-step approach - support Ukraine in economic issues, talks with Russia, and should there no progress on all those issues... the possibility of sanctions, tougher sanctions, remains on the table," she said.

- BBC