Nato To Bolster Defences
The announcement came hours after the U.S. President pledged $1bn (£ 600ml) to boost military deployments to Europe
Russia earlier said it could pull out of the 1997 Nato-Russia Founding Act shoulsd there be major Nato deployments in Eastern and Central Europe
Nato accuses Russia of backing rebels in Ukraine , a claim denied repeatly by Moscow
On Tuesday , heavy fighting between Ukrainian government troops and Pro Russia separatists was reported in and around the rebel held city of Sloviansk in the East
Speaking after a meeting of Nato's defence ministersin Brussels , the alliance's secetry general Anders Fogh Rasmussen said russia had increased its military spending by 50% in the last five years , while Nato cut funding by 20% over the same period
Mr.Rasmussen stressed that Nato remained committed to the Founding Act governing the relations between the two sides
On Monday , Russia's envoy to Nato , Alexandr Grushko , was quoted as saying that Moscow was considering withdrawing from the co operation treaty and taking "measures of a military character" should there be major deployments in Europe
It is the first time the Nato defence ministers have discussed the long term security implications of Russian actions over Ukraine , the talks will continue on Wednesday
A senior Nato official quoted by AFP news agency , said earlier that the ministers would be making "fundamental decisions" regarding Russia that would go before Natto leaders at a September summit in the U.K.
The blok has already pledged to support the modernisation of Ukraine's armed forces