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Trump set terms to give Russian Federation its diplomatic properties back

U.S President Donald Trump with Russian President Vladimir Putin

Russian President Vladimir Putin surprised many in both countries by declining to retaliate - a gesture to then-President-elect Donald Trump, who had repeatedly indicated during the campaign that he would seek to improve ties with Moscow.

Then-U.S. President Barack Obama shut the compounds and expelled 35 Russian diplomats it accused of spying in December, less than a month before he left office, in response to the Russian election interference, a claim Moscow rejects.

Moscow expects the United States to exhibit political wisdom and will in resolving the dispute over the seized Russian diplomatic property in NY and Maryland, Kremlin spokesman Dmitry Peskov said Monday.

He said Moscow was using the compounds for "intelligence-related purposes".

FBI is investigating contacts between his campaign and Russia, Trump is moving toward returning the compounds.

Russian Federation has described any possible conditions set by Washington to return two of the country's diplomatic compounds in the USA that were closed down late a year ago as "unacceptable".

Russian Federation has refrained from a retaliatory response, but Lavrov said last week, "If Washington decides not to solve this issue, we will have to take counter actions", possibly by blocking use of a country house and storage facility used by U.S. Embassy personnel in Moscow.

Mr Obama said he was ordering the ban due to U.S. intelligence reports of Russian hacking and an alleged influence campaign to sway the USA presidential election in Mr Trump's favour.

On Tuesday, Russian Foreign Minister Sergey Lavrov said that Moscow would take retaliatory measures against Washington if the situation with Russia's diplomatic property in the United States was not resolved.

It has said a lot will depend on the outcome of a meeting in Washington later on Monday between Russian Deputy Foreign Minister Sergei Ryabkov and US Undersecretary of State Thomas Shannon.

Russian Federation has denied any interference.