Sanctions and travel bans will target eight members of the Russian Federation's security council, while existing sanctions in place over past aggression will be expanded.

Russian banks have also been targeted.

Prime Minister Scott Morrison said he expected further tranches of sanctions against more individuals but remained tight-lipped about who would be targeted.

"We will take this step by step and I can assure you those steps will get stronger and stronger," he told reporters in Sydney.

Meanwhile, Russia's ambassador to Australia, Alexey Pavlovsky, met with the secretary of the Department of Foreign Affairs on Wednesday afternoon, following announcement of the sanctions.

Russian leader Vladimir Putin has ordered troops into eastern Ukraine in a move he said was aimed at keeping the peace, after Moscow recognised the separatist regions of Donetsk and Luhansk as independent.

US President Joe Biden described the action as the beginning of a Russian invasion of Ukraine.

Mr Morrison, who convened cabinet's national security committee on Wednesday, said Russia needed to understand the world's condemnation of its decision.

"The invasion of Ukraine has effectively already begun. They're acting like thugs and bullies," he said.

"Australians always stand up to bullies and we will be standing up to Russia."

Around 430 Ukrainian visa applications will jump to the top of the pile and the more than 1000 Ukrainians outside Australia who already have visas are being welcomed back, Mr Morrison said.

It is believed up to 1400 Australians remain in Ukraine, with 184 registered for embassy support, which is currently being run out of Poland.

"Ukrainian visa holders who wish to remain in Australia beyond the validity of their current visas are able to apply for further visas for which they may be eligible," a Department of Home Affairs spokesman said.

"Australia does not return individuals to situations where they face persecution or a real risk of torture, cruel, inhuman or degrading treatment or punishment."

Mr Morrison spoke with his Ukrainian counterpart Denys Shmyhal on Wednesday night informing him of the sanctions.

A spokesman said Mr Morrison told Prime Minister Shmyhal that Russia's behaviour towards Ukraine was "unacceptable, unprovoked and unwarranted".

"Prime Minister Morrison reaffirmed Australia's unwavering commitment to Ukraine's sovereignty and territorial integrity," the spokesman said.

"The Prime Minister affirmed Australia's preparedness to do more, working with our partners, and in response to Ukraine's needs."

The sanctions policy will follow the United States and United Kingdom, which are targeting Russian billionaires and financial institutions.

Germany has also put the brakes on a new gas pipeline.

Australia has ruled out direct military assistance and is supporting Ukraine's cyber capability.

"It's important that we play our part in the broader international community to ensure that those who are financially profiting from an autocrat should have nowhere to run and nowhere to hide when it comes to trying to move their money around," Mr Morrison said.

Opposition Leader Anthony Albanese, who has been briefed on the situation by intelligence agencies, said the Russian invasion was a shocking development.

"Labor supports the announcement made by the government - we believe it is important when it comes to national security that we express a common view on behalf of the Australian people," he said.

"What we see with ongoing intimidation against the people of Ukraine is aggressive Russian action which undermines security in the region and indeed the world."

Labor's foreign affairs spokeswoman Penny Wong said it was important for Australia to act in lock step with its international partners in condemnation of the Russian action.

Home Affairs Minister Karen Andrews, who met her counterparts in the Five Eyes intelligence alliance over the issue, has voiced concerns about a potential cyber attack on Australian critical infrastructure.

Australian Associated Press