DHAKA: Ukraine says Russia has cut off all gas supplies to Kiev, in a major escalation of a dispute between the two nations.

‘Gas supplies to Ukraine have been reduced to zero,’ Ukraine energy minister Yuri Prodan said, reports the BBC.

Russia’s state-owned gas giant Gazprom said Ukraine had to pay upfront for its gas supplies, after Kiev failed to settle its huge debt.

Gazprom had sought from Kiev $1.95bn, out of $4.5bn it says it is owed, by 06:00 GMT.

The Russian firm said it would continue to supply gas to Europe.

Russia-Ukraine ties remain tense since Moscow annexed Crimea in February.

Kiev says Moscow backs separatists in the east of the country. Russia denies the charge.

BDST: 1917 HRS, JUNE 16, 2014