Russian troops engage in war games near Ukraine

Crimea, which hosts Russia's Black Sea Fleet base, became the hotbed of tensions in Ukraine after its pro-Russia president, Viktor Yanukovych, fled last month following protracted anti-government protests and outbursts of violence.

In Crimea, Oleh Serha, a spokesman for Ukraine's largest Privat bank, said Thursday that all banks in Crimea are struggling to deliver more cash to the region. He said, "There is panic in Crimea because nobody understands what will happen later."

Serha said his bank is continuing to service its clients, but that it has imposed a limit of 1500 hryvna ($150) on daily withdrawals across the whole country.

About 60 people lined up to withdraw money from an ATM at Privat Bank near a pedestrian mall in Simferopol, Crimea's capital.

"People are in panic. They have been fooled before. People are confused," said Vyacheslav Leonenko, one of those in the line.

The Ukraine crisis has previously created turmoil in global markets, especially in Russia, where Moscow's Micex stock index fell sharply and the ruble fell to a record low against the dollar. It has since recovered slightly, thanks to massive Central Bank interventions.

The West, meanwhile, intensified efforts to quickly shore up the Ukrainian economy roiled by the political turmoil. Ukraine's finance ministry has said it needs $35 billion for this year and next to avoid default.

The head of the International Monetary Fund said its fact-finding team in Ukraine will begin negotiations with authorities to develop an economic reform program that could lead to financial help from the lending organization.

Christine Lagarde said Thursday the team that went to Ukraine March 4 and normally would return to Washington to report to the IMF board will now remain until March 21.