EUROPEAN Union leaders are looking for a diplomatic solution that would allow President Vladimir Putin to de-escalate the situation in Ukraine without losing face, amid growing fears about the impact of Russia’s economic woes on the European economy.

At a summit in Brussels last week, EU leaders agreed to stay firm against Moscow. But, amid signs of a growing rift between member states, they also concluded there should be no further sanctions and said diplomacy should be used to enable Putin to meet conditions set by the West to roll back some measures.

“There was a consensus that Putin must be allowed to save face while at the same time moving to end the crisis in Ukraine — which is a precondition for scaling back