Russia says the declaration of a state called "Malorossiya" (Little Russia) in rebel-held eastern Ukraine is just a rebel leader's "personal initiative", according to BBC News.

Alexander Zakharchenko announced the new "state" in Donetsk, saying it would replace Ukraine. The pro-Russian rebels broke away from Ukraine in 2014.

Kremlin spokesman Dmitry Peskov said "we remain committed to the Minsk accords". The Minsk ceasefire is shaky as shelling and skirmishes continue.

More shelling took place on Tuesday, July 18.

The Ukrainian military reported heavy rebel fire on its positions in the Avdiivka area, a hotspot just north of rebel-held Donetsk. It said two Ukrainian soldiers were killed.

The self-styled "Donetsk People's Republic" (DNR) said one civilian was killed and two were wounded in Ukrainian army shelling of some residential areas of Donetsk.

Western governments accuse Russia of helping the rebels with regular troops and heavy weapons. Moscow denies that, while admitting that Russian "volunteers" are helping the rebels.