The European Union has decided to give Russia three days to change its policy on Ukraine or face the prospect of further sanctions.

According to the reports, the 28 EU leaders said in a statement on Friday that Moscow had to take four steps, including backing Kiev’s peace plan, by June 30 or face new measures.

The statement added that after the deadline has passed, the EU leaders would assess “the situation and, should it be required, adopt necessary decisions," leading to possible “further significant restrictive measures.”

European leaders accused Russia of fuelling the fighting in Ukraine's troubled eastern regions, an allegation which Moscow has rejected.

Meanwhile, Ukraine President Petro Poroshenko said he would make a decision later on Friday to extend a ceasefire in the troubled eastern regions by another 72 hours. The truce is due to end at 10:00 PM (1900 GMT).

Russian Foreign Minister Sergei Lavrov said Moscow would welcome a three-day extension of the ceasefire in east Ukraine, adding that the move must not simply delay an "ultimatum" for separatists to lay down their arms.

On January 20, Poroshenko ordered a ceasefire in the southeastern regions in a bid to de-escalate tensions in the troubled regions.

The two mainly Russian-speaking provinces of Donetsk and Lugansk have been the scene of deadly clashes between pro-Russia protesters and the Ukrainian army since Kiev’s military operation started in mid-April. The violence intensified after the regions held local referendums on May 11, in which their residents voted overwhelmingly in favor of independence from Ukraine.

SS