Ukrainian President Volodymyr Zelensky has said a peace agreement to end the war with Russia is '90% ready', in a New Year address that largely focused on resistance to Moscow's full-scale invasion.

Zelensky said the remaining 10% of the agreement to end nearly four years of conflict would 'determine the fate of peace, the fate of Ukraine and Europe'.

In his own New Year speech, Russian President Vladimir Putin told his troops that 'we believe in you and our victory'.

Earlier on Wednesday, Moscow also released what it said was evidence of Ukraine using drones to target Putin's private home on Lake Valdai in north-west Russia, allegations Kyiv has strenuously denied.

It included a map allegedly showing that the drones were launched from the Sumy and Chernihiv regions of Ukraine and a video of a downed drone lying in snowy woodland. A serviceman standing next to the wreckage claims it is a Ukrainian Chaklun drone.

The BBC hasn't been able to verify the footage, and it is not possible to locate where it was shot.

Russia would review its position on the ongoing peace negotiations as a result of the alleged incident, the Kremlin said.

However, Kaja Kallas, the EU's top diplomat, on Wednesday described the Russian claims as a 'deliberate distraction' and an attempt to derail the peace process.

In his 20-minute address to the nation, Zelensky reiterated that Ukraine did not want peace 'at any cost', adding that 'we want the end of the war – not the end of Ukraine'.

He stressed that a Ukrainian withdrawal from the eastern Donbas region means 'everything will be over', pointing to Russia's unwillingness to compromise on its control of the region.

Currently, Moscow controls about 75% of the Donetsk region, and nearly all of the Luhansk region, complicating peace talks.

Zelensky thanked nations that have supported Ukraine, emphasizing the need for intentions to be solidified into security guarantees.

Following discussions with U.S. President Donald Trump, Zelensky noted that Washington had offered security guarantees for 15 years, although the timeline for implementation remains unclear.

'Signatures under weak agreements only fuel war,' Zelensky warned.

In comparison, Putin's New Year address was notably shorter, focusing on support for troops in Ukraine, which Russia terms a 'special military operation'.

Meanwhile, North Korean leader Kim Jong Un praised the alliance between Pyongyang and Moscow, claiming that North Korean soldiers were aiding Russia's efforts in Ukraine.

Zelensky expressed a desire for peace negotiations to resume promptly, with involvement from U.S. and European leaders, while French President Emmanuel Macron indicated upcoming commitments to support Ukraine in ensuring peace.

However, any potential peace deal requires Russian cooperation, which appears increasingly difficult following the latest drone incident allegations.