Speaking at a press conference after meeting visiting Armenian President Serzh Sargsyan in Berlin, Merkel said the recent developments in Nagorno-Karabakh, a breakaway region of Azerbaijan with a predominantly Armenian population, gave cause for concerns.
Efforts towards an "acceptable and permanent ceasefire" in the region, the chancellor stressed, are "of the utmost urgency".
Merkel said that Germany advocated resolving the conflict between Armenia and Azerbaijan peacefully and wanted to "help constructively".
Recent hostilities between Armenia and Azerbaijan on the contact line in Nagorno-Karabakh flared up overnight Saturday with the two countries blaming each other for triggering the escalation.
The Azerbaijani Defense Ministry said Tuesday that its forces have killed 70 Armenian soldiers and destroyed 20 armored vehicles on Monday and Tuesday, while at least 16 Azerbaijani soldiers were killed during heavy fighting in the region.