Vladimir Putin said this morning Russia and the United States are still far apart over Ukraine. Moscow, he said, could not ignore “illegitimate decisions” imposed on the east and south of the country and calls for help by ethnic Russians there but the two powers should not sacrifice relations over it.
In an hour-long telephone call last night Barack Obama urged Putin to accept the terms of a potential diplomatic solution to the crisis whereby Moscow would keep its military bases in Crimea while respecting Ukraine’s sovereignty. But he also ordered sanctions – including travel bans and freezing of assets in the U.S. – on people responsible for Moscow’s intervention in Ukraine though Putin himself is not on the list.
Obama also said a Crimean referendum on joining Russia, called for 9 days’ time, violated international law.
Meanwhile, Congress passed a $1 billion loan guarantees package for the new government in Kiev. The European Union has already promised some $15 billion over the next two years, contingent on a deal being signed with the IMF.
In terms of sticks not carrots, the EU stopped a little short of Washington. An emergency summit of the bloc’s leaders condemned Russian actions in Crimea as illegal but took only minor steps, suspending talks with Moscow on visas and a new investment pact while warning of tougher measures if there is no negotiated solution soon.
French Foreign Minister Laurent Fabius has just said that if a first round of sanctions prove insufficient, a second wave could target businesses and individuals including people close to Putin.