Vladimir Putin supports the decision of the President of Ukraine Petro Poroshenko to cease fire in the southeast of Ukraine, as well his stated intentions to take a number of concrete steps to achieve a peaceful settlement.
However, the Russian head of state drew attention to the fact that the proposed plan without practical actions aimed at the beginning of the negotiation process will not be viable and realistic.
A unilateral ceasefire called for by Kiev is under pressure after pro-Russian separatists attacked an Ukrainian military base and posts on the border with Russia, government forces said.
The fresh attack came just hours after the start of a ceasefire at 10 p.m. on Friday by Ukrainian forces, ordered by President Petro Poroshenko as part of his plan to end the rebel insurgency in the east of the country.
Russia could face the threat of fresh sanctions unless it fails to defuse tensions on the Ukraine border, the White House has warned.
The US claimed it has intelligence suggesting Russia was accumulating tanks and military forces near its border with Ukraine.
US President Barack Obama spoke with both French President Francois Hollande and German Chancellor Angela Merkel after Ukraine's president declared a week-long ceasefire in its fight against pro-Russian separatists.
Russia dismissed Petro Poroshenko's plan, claiming it was an "ultimatum" rather than an offer of peace.
After President Obama's conversations with the respective leaders, a statement said: "They agreed that should Russia fail to take immediate, concrete steps to de-escalate the situation in eastern Ukraine, the US and the European Union would coordinate additional steps to impose costs on Russia."