UNITED NATIONS (AP) — The U.N. Security Council is discussing a possible resolution that would reaffirm Ukraine's sovereignty and territorial integrity and address Sunday's referendum on whether its Crimean Peninsula should become part of Russia.

Ukrainian Prime Minister Arseniy Yatsenyuk (ahr-SEHN'-ee yaht-sehn-YOOK') will brief the Security Council today at an open meeting.

German Chancellor Angela Merkel (AHN'-geh-lah MEHR'-kuhl) says Russia risks "massive" political and economic consequences if it continues its course in the Ukraine crisis.

In an address to Parliament today, Merkel told lawmakers the only way out of the crisis is through diplomacy.

But she says the European Union and other western nations were prepared to freeze bank accounts and implement travel restrictions if Russia refused to enter "negotiations that achieve results."

She also says further measures could be taken if those aren't effective and that Moscow will find that its current course "will cause massive damage to Russia, both economically and politically."

Merkel also underlined that Ukraine's territorial integrity is "not up for discussion" and that Russia's deployment of troops to Crimea is a clear breach of international law.