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Fighting intensifies in eastern Ukraine

Fighting has started again in eastern Ukraine between government troops and separatist rebels, Ukrainian military officials said.

Yesterday a missile killed at least 15 refugees who were trying to flee the area "burning them alive". More bodies may still be recovered.

This comes days after a convoy of aid supplies travelled to the country from Moscow but Ukraine is still to let them in over fears it could spark an invasion.

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Russia braces for tough economic times as sanctions hit

Russian money is flowing out of the country amid the worst clash between the Kremlin and the West since the Cold War.

Pro-Russian rebels stand at a security post on the outskirts of Donetsk. Credit: AP Photo/Sergei Grits

Russia's Economy Ministry is forecasting £60 billion in capital outflows for this year, up from £36 billion in 2013, but some say the figure has already been exceeded.

"Somewhere between $100 billion and $200 billion of capital flight has taken place," US President Barack Obama said last week.

Russian economy is expected to stagnate in the light of tough economic sanction imposed on the country by the EU and the U.S.

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