Russia has denied the claims that it has armed rebels in Ukraine and sent its regular armed forces across the border.
Hit by sanctions and a fall in the price of oil, a key export for Russia, the Russian economy faces recession this year. The International Monetary Fund forecasts the Russian economy to shrink 3.8 percent in 2015 and 1.1 percent in 2016.
Peskov told NBC that Western sanctions were not having a marked impact on Russia's economy.
"It [sanctions] hurts producers and farmers in the European Union," Peskov said. "During last year, a year of sanctions against Russia and a complete break in dialogue in different fields with the European Union and U.S., our volume of trade decreased about 30 percent with the EU and rose up to 7, 10 percent with the U.S., so it's tricky."
"So while European farmers are crying out at the disaster, American companies are enjoying a surplus. That is a question that will come for Washington and Brussels, not for us," Peskov added.
In contrast to the Western boycott of Russia's Victory Day parade, Chinese president Xi Jinping arrived in Moscow Friday to attend the event.
Read MoreRussia's economy shrinks 2-4% despite Putin's positive spin
"Russia's annexation of Crimea and its intervention in eastern Ukraine was a game-changer," Nicholas Spiro, managing director at Spiro Sovereign Strategy in London, told CNBC.
"Although the blood-letting may have diminished significantly over the past few months, the east-west stand-off over Ukraine endures - and could easily flare up again given that there's still no political solution to the conflict," he added. "While many European countries would like to see a normalisation of relations with Russia, sanctions remain in place and Germany is standing firm for the time being."
He joins a number of Asian leaders who are expected to stand alongside the Russian president at the celebrations and further entrench a growing political divide.
"This is a practical reset of the symbolic political button," Chris Weafer, a senior partner at Macro-Advisory, told CNBC in a phone interview.
"It's a formally marked shift in Russia's political direction towards the East and …. and will counter almost 25 years of trying to engage with the West," he said.
The Kremlin will take the opportunity of the celebrations to hold an informal summit for members of the Eurasian Economic Council (EEC) and the Russian-led Commonwealth of Independent States, according to a Russian state press release. Leaders will welcome Kygyzstan into the fold, ahead of the former Soviet's state's approved membership to the EEC.