Russia has denied as "absolute nonsense" claims by Kiev that Moscow has sent two contingents of its troops into war-ravaged eastern areas of Ukraine.

A spokesman for Russian Defense Ministry said Tuesday that claims by Kiev about the alleged deployment of troops on the Ukrainian border are “absolute nonsense” and hallucination.

"Yesterday's accusations from Kiev of the alleged deployment of Russian army contingents across the Russian-Ukrainian border do not stand up to any criticism," Major General Igor Konashenkov said.

Authorities in Kiev on Monday accused Russia of sending around 700 troops to an area in the eastern Ukrainian city of Donetsk to bolster the pro-Russia forces fighting against the government forces.

More than 4,800 people have been killed in a conflict in east Ukraine with Western governments continuing to accuse Russia of having a major hand in it. Moscow, however, denies any involvement in the unrest, saying Kiev continues to suppress the ethnic-Russian population living in east of Ukraine.

Russia has also repeatedly denied sending troops or weapons to the militants fighting the government in east Ukraine.

Fresh fighting erupted in eastern Ukraine between pro-Russia fighters and government forces on Tuesday, leaving at least three civilians dead.

Also on Tuesday, Moscow accused Ukraine of undermining peace prospects by deliberately increasing its military activity in the east.

Efforts are underway for arranging a multilateral peace summit attended by leaders of Russia, Ukraine, France and Germany. One such meeting was hoped to take place last week in Kazakhstan, but plans failed as the warring sides could not reach a compromise on remaining differences.

MS/HMV/SS