From what i've understood, the European culture is very sensual, and maybe this is just a stereo-typical thing of me to say, but it's what i've heard and picked up on from reading things.
With that said, it's very likely that the cultural views are different, and while I understand one wants to respect their own culture, you can kind of dabble into another and still not overstep the boundaries of your own.
And i'm really not trying to be judgemental here, so excuse me if I have been, but lastly, if you were that uncomfortable, you need to tell this guy straight up, "I think you're nice, and respectable, but I don't enjoy the occasional touching here and there and I have to ask you kindly that you not do so." Or, just decline the offer to meet again and nicely put that you're not interested.
Other than that, i'm not sure what to tell you.