The European Union will this week admit it is not doing enough to build trade, stability and democracy on its borders, when it unveils an improved package of measures to help neighbours to the east and around the Mediterranean basin.

Benita Ferrero-Waldner, EU external relations commissioner, will say Europe needs to do more to stabilise conflict zones – such as in the southern Caucasus, the Middle East and Western Sahara – including mounting peacekeeping operations.