German Chancellor Angela Merkel (R) speaks Russia's President Vladimir Putin (L) on Oct. 17, 2014 on the sidelines of the summit in Milan.
German Chancellor Angela Merkel on Monday accused Russia of destabilizing not only Ukraine, but also large swathes of Eastern Europe, while EU foreign ministers paved the way for a new round of sanctions over the conflict.
"This is not just about Ukraine," Merkel said in Sydney. "It is about Moldova, about Georgia, and, if this continues, you must ask questions about Serbia and the West Balkan countries."
It was the first time that a Western leader has accused Moscow of meddling in the Balkan region, where several countries have applied for EU membership.
The former Soviet republics of Moldova and Georgia do not have applicant status, but signed trade deals with the European Union earlier this year.
Russia retains a strong influence on both countries thanks to its involvement with separatist territories that broke away in the 1990s. Critics say the tactic is being repeated in eastern Ukraine today.
In her Sydney speech, Merkel accused Russia of treating Ukraine as a sphere of influence rather than a neighbouring country, and of flagrantly violating international law with the annexation of Crimea in March.
"After the horrors of two world wars and the end of the Cold War, this challenges the peaceful order in Europe," Merkel said.
Russia's "old thinking" in spheres of influence must not be tolerated, Merkel added, while predicting a path ahead that will be "long and hard and full of setbacks."
Russian President Vladimir Putin faced repeated criticism in relation to Ukraine at a weekend G20 summit in Brisbane.
US President Barack Obama said that Putin had violated international law by providing heavy arms to Ukrainian separatists, and violated peace accords signed in September.
The European Union has tried to change Russia's approach in Ukraine, but with little success so far. EU foreign ministers on Monday debated how to proceed, amid disagreements over the importance of sanctions.
The ministers requested new travel bans and asset freezes to be drafted by the end of the month, but limited them to separatists in eastern Ukraine.
Ukrainian Foreign Minister Pavlo Klimkin urged the EU to provide "real deterrence," in the form of sanctions but also military aid.
"We are fighting in the east of Ukraine ... not only for Ukraine, but also for the safety and security of the EU," he said in the European Parliament.
"Sanctions are important," NATO Secretary General Jens Stoltenberg later said in Brussels. "It makes very clear that it has a consequence, it has a cost to behave in the way Russia is behaving."
But EU foreign policy chief Federica Mogherini and German Foreign Minister Frank-Walter Steinmeier were among those arguing for a more diversified approach involving also dialogue with Russia and reforms in Ukraine.
Mogherini warned that the latter is "crucial" for continued EU assistance to Kiev. The EU hopes to help with a new rule-of-law mission, for which a December 1 launch date was finalized Monday.
Steinmeier, who is traveling to Kiev and Moscow this week, also advocated a European conference on a "compact for growth" to help stabilize Ukraine.
Mogherini said she might travel to Russia too as part of dialogue efforts, but would only do so if the trip had chances of being "fruitful."
More than 4,000 people have been killed in eastern Ukraine since the fighting began in April, according to UN figures.
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