OTTAWA, February 23. /TASS/. Canadian Prime Minister Justin Trudeau has announced a first round of economic sanctions on Russia due to Moscow’s decision to recognize the Donetsk and Lugansk People’s Republics.

The government will ban Canadians from all financial dealings with the so-called independent states of Luhansk and Donetsk, as well as from engaging in purchases of Russian sovereign debt, Trudeau told a press conference on Tuesday.

The Canadian government will also sanction members of the Russian parliament who voted for the decision to recognize Donetsk and Luhansk as independent, as well as apply additional sanctions on two state-backed Russian banks and prevent any financial dealings with them, he added.

Sanctions will remain in force until Ukraine’s territorial integrity is restored, PM said, adding that it was "not too late" for Russia to seek a diplomatic resolution.

On February 21, Russian President Vladimir Putin recognized the sovereignty of the DPR and LPR (the Donetsk and Lugansk People's Republics). Subsequent agreements on friendship, cooperation, and mutual assistance were signed with their leaders. Putin instructed the Russian Foreign Ministry to establish diplomatic relations with the DPR and LPR, and the Russian Defense Ministry was instructed to ensure the maintenance of peace on their territories.