Meeting With Leaders Of Baltic Countries, German Chancellor Warns Of Economic And Political Sanctions If Russia Invades Ukraine

JAKARTA - Chancellor Olaf Scholz warned Russia of "serious" economic and political consequences, if Russia escalated military aggression against Ukraine, adding Germany and its allies were ready for dialogue with Moscow, wanting peace.

With Russia holding military exercises in Belarus and the Black Sea following its troop buildup near Ukraine, the standoff has raised fears of war in Europe, sending fuel prices soaring across the continent, which relies on Russian gas supplies.

"What is at stake today is nothing less than preventing war in Europe. We want peace," Chancellor Scholz told reporters at a meeting with leaders of the Baltic states in Berlin on Thursday, calling for Russia to reduce tensions.

"Further military aggression by Russia against Ukraine will have very serious political, economic and strategic consequences for Russia. At the same time, we are ready for serious talks with Russia, for dialogue on European security issues," he stressed.

Meanwhile, the Kremlin itself denies accusations by the United States and its allies, related to the possibility of Moscow carrying out an invasion of Ukraine.

Chancellor Scholz met with Estonian Prime Minister Kaja Kallas, Lithuanian President Gitanas Nauseda, and Latvian Prime Minister Krisjanis Karins, leaders of the Baltic states who want Germany to play a bigger role in the NATO military alliance's efforts to bolster defenses against Russia in Eastern Europe.

The leaders discussed concrete assistance to Ukraine, such as economic, financial and moral support, President Nauseda said in a video statement after the meeting.

"(Chancellor) Scholz is experienced in these situations, takes seriously the threats that arise on Ukraine's borders and no doubt sees how they relate to the security of the Baltic region," President Nauseda said.

Prior to the meeting, Latvian Prime Minister Karins urged Germany to take a "leading role to lead the European Union and NATO through these difficult times."

"Our focus is to support Ukraine. De-escalation cannot be done at gunpoint and at the expense of Ukraine," said PM Kallas.

Previously, Chancellor Scholz was shadowed by the United States to stop the completed Nord Stream 2 gas pipeline to carry Russian gas to Germany, in the event of a Russian military attack on Ukraine.