"We will not be sending US troops back into combat in Iraq, but I have asked my national security team to prepare a range of other options that could help support Iraq's security forces. And I'll be reviewing those options in the days ahead," Obama told reporters on the White House lawns.
Obama said that "Ultimately it's up to Iraqis to solve their problems".
"The US simply is not going to get involved in a military action without assurances" that the Iraqi government will take actions to unify the country and reduce sectarian tensions, he said.
He asserted that any action that US makes take to provide assistance to Iraqi security forces has to be joined by a serious and sincere effort by Iraq's leaders to set aside sectarian differences, to promote stability and account for the legitimate interests of all of Iraq's communities, and to continue to build the capacity of an effective security force.
"So this should be a wake-up call. Iraq's leaders have to demonstrate a willingness to make hard decisions and compromises on behalf of the Iraqi people in order to bring the country together. In that effort, they will have the support of the United States and our friends and our allies," he said.
The President appeared on the South Lawn of the White House after consulting with his top advisers.
He mentioned some initial moves, but stopped short of spelling out further steps that could include air strikes intended to slow the progress of militants and help the Iraqi military regain its equilibrium.
ISIL, the al-Qaeda-inspired Islamic insurgent group has taken major cities in Iraq and vowed to march on the capital, Baghdad.
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