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CONNECT THE WORLD

Donald Trump Set to Meet with Japanese Prime Minister; President Obama Meets with Angela Merkel in Berlin; World Leaders Worry About U.S. Commitment to Paris Accord; Cisco CEO Optimistic About Future

Aired November 17, 2016 - 10:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


[10:00:20] BECKY ANDERSON, HOST: Farewell tour as Barack Obama's days in office dwindle. He is looking to ally Angela Merkel for stability in

uncertain times. At this hour, the two leaders meeting in Berlin. We'll take you live to the German capital up next.

Also this evening...

(BEGIN VIDEO CLIP)

ANDREW STEVENS, CNN INTERNATIONAL CORRESPONDENT: Normally a Japanese leader would wait for the inauguration of a new U.S. president before

seeking a meeting, but these are not normal times.

(END VIDEO CLIP)

ANDERSON: After Donald Trump's election, Japan seeks to preserve the country's relationship with the United States. Prime Minister Abe is

visiting Trump in New York. What to expect from the president-elect's first meeting with a world leader.

And...

(BEGIN VIDEO CLIP)

IAN LEE, CNN INTERNATIONAL CORRESPONDENT: Electricity, fuel, medicine, everything is more expensive than it was.

(END VIDEO CLIP)

ANDERSON: Feeling the pinch in Egypt as the currency there plummets. A check of the economic situation is coming up.

Just after 7:00 in the evening here in the UAE. Hello and welcome to Connect the World. I'm Becky Anderson for you in Abu Dhabi.

U.S. President Barack Obama spending the final leg of his last trip to Europe with German Chancellor Angela Merkel, described as his closest

international partner.

His visit to Berlin comes at a time of uncertainty. It is unclear how Donald Trump's presidency will impact America's relationship with long-time

allies like Germany.

And in a joint editorial, Mr. Obama and Ms. Merkel offer a strong rebuttal of some of Trump's most controversial foreign policy pledges.

Well, Atika Shubert joining me now live from Berlin. And Atika, many of us remember the rock star welcome tens of thousands of Germans gave a young

Barack Obama back in 2008, those iconic images of him at the Brandenburg Gate during a tour in which he talked of solidarity with the Europeans.

How things have changed.

ATIKA SHUBERT, CNN INTERNATIONAL CORRESPONDENT: Well, I think that he still

remains a very popular president here, even though some people have been disappointed, particularly on foreign policy issues in Syria. But for the

most part, that solidarity is still felt here.

And if anything, that is in contrast to the concern they have about President-elect Donald Trump. He is simply an unknown entity. Nobody

knows what he will -- what the new administration will bring.

And this is why the meeting today with Germany's Chancellor Angela Merkel is so crucial. They're actually right now in that one on one meeting and

they will be meeting with other EU leaders tomorrow -- France, the UK and Italy.

And all of this is to get a pretty, more clear-eyed assessment of what's coming up next, when a number of trade and security agreements that have

been the bedrock of the Transatlantic alliance are thrown into question.

What will the U.S. role be in NATO if Trump says the U.S. should take a backseat? What about trade partnerships like the Transpacific partnership?

These are all big questions that they'll be discussing today and in tomorrow's mini-summit.

ANDERSON: And we've had got this joint editorial penned by Mr. Obama and Ms. Merkel offering what are clearly relatively strong rebuttals of some of

Trump's most controversial pledges. What specifically was said?

SHUBERT: Well, you know, what the basic message is, we're better together. And that actually comes straight from the joint editorial. And it is a

plea to defend the benefits of globalization while also admitting that there needs to be a closer look at those left behind by

these kind of trade deals.

Where are people feeling that they've lost opportunities or lost jobs, and to address the inequalities. So, that's what the editorial says.

But at the same time, they have to sort of take a look at what president- elect Donald Trump effectively has promised, to throw out trade agreements, to roll back, for

example, climate change agreements. And this is something that's very important to Germany. They have championed green energy. They have pushed

other countries to sign on to agreements to reduce climate change. And now all the work may be undone if Donald Trump decides to pull out of

agreements.

ANDERSON: Angela Merkel is the consummate diplomat, we've seen that over the past, what, 12 years. If we she were to stand for and win the

chancellorship for a fourth term, how would she get on with Donald Trump?

SHUBERT: I think that is a really good question. I mean, in so many ways, Angela Merkel

is the anti-Trump. She's a strong woman leader who, you know, doesn't really take any nonsense. She is known for being pragmatic, practical and

chooses her words very carefully. She's a very cautious leader.

And now, so many hopes are resting on her to defend this sort of globalization that liberal

democracy, those policies that have been put into place over the Obama administration and her

term, as well.

So, there's a lot riding on her shoulders. She hasn't announced her candidacy yet for next year. She's already been in power more than a

decade. But there is a lot of pressure on her to keep -- to defend her legacy and also to keep the European Union united.

ANDERSON: Fascinating. Somebody was suggesting to me last week, post the Trump victory, that it is indeed Angela Merkel who they believe is now the

leader of the free world.

Their comments, not mine.

It will be interesting to see what happens going forward. Atika, thank you.

While the current U.S. president is having one of his final meetings, then, with a foreign leader, the U.S. president-elect is about to have his first

one. The Japanese prime minister, Shinzo Abe, is on his way from Tokyo to New York to meet Donald Trump.

Mr. Abe says he wants to build trust with the new leader. Andrew Stevens is our Asia Pacific editor, joining us this hour from Hong Kong.

What are the expectations going into this trip, Andrew.

STEVENS: I think the expectations of anything concrete coming out of it are quite low, Becky. Indeed, Kellyanne Conway, the Trump campaign manager

said that this is going to be more of an informal meeting and the substantive discussions would come once the inauguration has been complete.

But it is still very important for the optics and the two men to meet each other and for Japan

really to press its case. You have got to remember, Becky, that the U.S./Japanese alliance really is

responsible for Japan's peaceful and powerful economic rise over the last 70 years. It is critical for Japan.

And Shinzo Abe, who had a 20 minute conversation with Donald Trump over the telephone just after the election is very, very keen to push that point and

to create some sort of relationship with the incoming president.

But there are a lot of issues standing in the way, as we know. On the campaign trail, there has

been a lot of heated comment from Donald Trump about Japan, about Asia.

(BEGIN VIDEOTAPE)

STEVENS: Prime Minister Shinzo Abe is making every attempt to preserve Japan's relationship with its most important political and diplomatic

trading partner, the United States. Normally, a Japanese leader would wait for the inauguration of a new U.S. president before seeking a meeting, but

these are not normal times.

SHINZO ABE, JAPANESE PRIME MINISTER (through translator): The Japan/U.S. alliance is the axis of Japan's diplomacy and security. The alliance is

only alive if there is trust between us.

TRUMP: I will get rid of those tariffs in Japan.

STEVENS: Tokyo has been rocked by Donald Trump's explosive comments on the campaign trail, raising fears that the new administration could turn its

back on the alliance.

Trump has hinted he could withdraw U.S. troops from Japan unless it paid a bigger share of

their upkeep and suggested that Asian countries could provide their own nuclear defense against North Korea.

TRUMP: North Korea has nukes. Japan has a problem with that. I mean, they have a big problem with that. Maybe they would, in fact, be better

off if they defend themselves from North Korea.

CHRIS WALLACE, FOX NEWS: With nukes?

TRUMP: Including with nukes, yes.

STEVENS: And then there's Trump's signature opposition to global trade deals, including

the President Obama-led Transpacific Partnership, which has had the wholehearted support of Mr. Abe.

TRUMP: I'll take jobs back from Japan and every other country that's killing us. I'll bring the jobs back.

STEVENS: But Abe advisers say Tokyo is looking beyond what they describe as campaign

rhetoric.

TOMOHIKO TANIGUCHI, SPECIAL ADVISER TO JAPANESE PM: We're looking at the future. And no matter what any candidate says during a campaign, today is

the first day of the rest of his administration.

[10:10:02] STEVENS: The first step of that first day for Japan, to build a working relationship. Abe has already praised what he described as

Trump's, quote, extraordinary talents as a businessman.

TANIGUCHI: This is going to be very much a classic ice breaking opportunity for both of these people.

STEVENS: Analysts say don't expect any key decisions to come from this meeting, but with

regional tensions on the rise from North Korea's nuclear program to China's expansion into the South China Sea, it is likely to provide the first

indication of what Donald Trump's Asia strategy will look like.

The world is watching.

(END VIDEOTAPE)

STEVENS: And Becky, the Japanese really are pinning their hopes, and Shinzo Abe really is pinning his hopes on creating a good, strong, working

relationship and creating good personal chemistry. So, whether he can achieve that or not obviously remains to be seen.

So much rides on this for Japan.

ANDERSON: And Andrew, you've been around long enough to remember the sort of anti-Japan rhetoric out of the States by somebodies back in the early

1990s. This is sort of -- when I hear Donald Trump saying, I'm going to bring those jobs back from Japan, it

reminds me of what is now 25 years ago, when the Japanese currency was so strong and there was so much anti-Japan fervor in the States.

I wonder how significant you think, if at all, is the fact that this is the first foreign leader to meet with Donald Trump as the president-elect, or

whether, given that Trump doesn't do things the way a lot of other people have done in the past, there is no significance to this and

just a coincidence.

STEVENS: It's definitely more than coincidence, Becky. And you're right, and history has a habit of repeating itself. There was a time when Japan

and the fear in the U.S. was that Japan was going to take over the U.S. almost. And now, we're seeing that same sort of fear being raised against

China.

So, yes, these are cyclical issues in some ways.

But you can't underestimate just the bedrock importance of the alliance between Japan and the

U.S. A lot flows from that, in the U.S.'s position across the Asia-Pacific region. Remember, this region still is very much the global powerhouse of

the world. So it is key for Mr. Abe to get there, to get his points across, and it is key that he can make Donald Trump understand how

important U.S. backing is for not only Japan, but many other countries in this region like South Korea.

And also, it is, as we know, it is an offset against China's rise and China's military and economic muscle.

ANDERSON: Yeah, fascinating. Good context, as ever.

Andrew, thank you.

Well, the meeting between Mr. Abe and Trump will be very closely watched by Japan's biggest

neighbor, as Andrew was pointing out, and that is China.

But could the issue of global warming leave Trump's own relations with Beijing frosty? Well, a delegate from the country has hit back at Trump's

claim that climate change is a Chinese hoax, something very much on the minds of leaders meeting to discuss the issue in Morocco.

Isa Soares is there.

(BEGIN VIDEOTAPE)

ISA SOARES, CNN CORRESPONDENT (voice-over): Trump is not a name leaders want to discuss here, but among the diplomacy and the smiles, they are

quietly sweating over his skepticism on climate change and there's no avoiding it.

(on camera): Can you comment on the election of President-elect Trump in the United States:

BAN KI-MOON, U.N. SECRETARY-GENERAL: I'm sure he will understand this, listen and he will evaluate his campaign remarks.

SOARES (voice-over): The fear here is that the president-elect could undo the climate change agreement signed by nearly 200 countries last year in

Paris.

UNIDENTIFIED MALE: We are a little bit worried, but we are going to -- the system of legislation could may not allow him to un-do the gains from the

successful Paris summit.

UNIDENTIFIED FEMALE: There's momentum with or without the U.S.

SOARES: They have reason to worry. The president-elect has called climate change a hoax, created by and for the Chinese, in other words to make U.S.

manufacturing non-competitive. He has even hinted at cancelling the Paris agreement and reviving the U.S. coal and gas industry.

(on camera): In legal terms, U.S. President-elect Trump could not pull out of the Paris agreement. He would have to trigger Article 28. That's the

provision within the actual agreement, and that could take as many as four years, by which point his term will have ended. But there's a much quicker,

faster way if he wants out. That's simply to ignore the commitment set in place by U.S. president Barack Obama.

(voice-over): U.S. Secretary of State John Kerry wants to avoid this at all costs.

[10:15:134] JOHN KERRY, SECRETARY OF STATE: No one has a right to make decisions that affect billions of people based on solely ideology or

without proper input.

SOARES: Europe, too, is pushing for this, sounding alarm bells and calling on Trump to stick to the accord.

UNIDENTIFIED MALE: We need the United States on board and we will do any effort to have them on board and to convince them that this is a win-win

policy.

SOARES: But while many at the conference are optimistic the president-elect will change his mind, some of his supporters here are hoping he doesn't

budge.

UNIDENTIFIED MALE: We stand in solidarity with president-elect Trump and this will be the first step toward doing it. This is our shredding of the

documents.

SOARES: Isa Soares, CNN, Marrakesh, Morocco.

(END VIDEOTAPE)

ANDERSON: We're going to have a lot more for you on the Trump transaction on Connect the World.

Still ahead this evening, he has vowed to drain the so-called swamp in Washington. Find out how Trump is taking action.

We'll also hear from the head of tech giant Cisco and get his thoughts on how Silicon Valley can move forward under Mr. Trump.

And for the first time since conceding the election, Hillary Clinton breaks her silence. More on that later this hour for you.

Some of the other stories on our radar at this point for you. And the European Union's foreign

policy chief is expressing regret over Russia's decision to withdraw from the International Criminal Court. She reaffirmed EU support for the ICC.

Moscow calling the court ineffective and biased.

100 migrants are feared dead after their boat capsized off the Libyan coast. Doctors Without Borders says it picked up 27 survivors and

recovered seven bodies. United Nations says this year is now the deadliest for migrants crossing the Mediterranean to reach Europe.

Iraqi paramilitary forces say they've retaken control of a strategic air base near the city of Tal Afar. A spokesman says militia forces are still

clearing pockets of ISIS resistance. Iraqi officials say the base will be a staging area for the battle with ISIS west of Mosul.

Well, to Syria now, where residents say bombs are falling like rain in eastern parts of Aleppo. On the third consecutive day of strikes, activists

said at least 21 people were killed and dozens more were injured. This social media video gives a hint of just how widespread the devastation is.

CNN cannot independently verify these images.

Many families, we do know, though, are struggling to find adequate food and medical care

in the city. Will Ripley is in neighboring Turkey, Istanbul, with more. And what your sources telling you what's going on in eastern Aleppo, Will?

WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: It's a horrible situation, Becky, for the more than 250,000 who live there. Just in the last three

days since this renewed bombing campaign has begun, more than 100 people have died, two hospitals have been hit, including the only remaking

pediatric hospital, a blood bank, as well. This is affecting the ability to care for literally tens of thousands of patients, deliver hundreds of

babies and deliver hundreds of bags of blood every single month, and caught at the center of all of this, the middle of the terror, innocent children

and desperate parents.

(BEGIN VIDEOTAPE)

WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: The children of east Aleppo are too young to remember life before this. Life before the planes dropping

bombs on their homes, hospitals, schools. Too young to understand why anyone would do this. How anyone could do this.

The girl under the red blanket was too young to die. She was just one of the children killed Wednesday. One of dozens of people killed on day two of

the Syrian regime's latest aerial assault on the rebel-held city.

MOHAMMED EDEL, FATHER-TO-BE: Today, Aleppo has suffered a very bloody day.

RIPLEY: Mohammed Edel is a teacher about to become a father. His wife is 7 months pregnant. It's a boy.

EDEL: I'm going to be a daddy. I'm going to have a baby. So, I'm afraid that my wife die under -- when she's giving birth.

RIPLEY: Like most expecting moms in east Aleppo, she suffers from malnutrition. Her doctor has no prenatal vitamins to prescribe. The

pharmacies, like the markets, are nearly empty.

EDEL: The few things which are available in very little amounts are super expensive.

[10:20:08] RIPLEY: Every parent wants the best for their children but in east Aleppo, even the basics are out of reach. One can of baby formula

costs $20. Twenty times the daily income of some families.

MONTHER ETAKY, FATHER: Baby girl died because of -- because there's no healthy food for her.

RIPLEY: Monther Etaky is an activist, he sees far too many children, far too young to starve. He's grateful his 4-month-old son is still breast-

feeding.

ETAKY: When you are looking to your son and just pray to not get sick because if she gets sick, never find medicine for him.

RIPLEY: Are you more worried about your son getting hit with a bomb or you're worried about him running out of food or getting sick?

ETAKY: I'm not getting him of the house at all. I'm just hiding him in the safest room.

RIPLEY: But even the safest rooms cannot withstand the most powerful bombs being dropped on east Aleppo. These children are too young to know what it

really feels like to be safe.

(END VIDEOTAPE)

RIPLEY: So, just in case anyone needs a reminder why parents are risking their lives and their children's lives to escape what's happening in Syria,

all you need to do is look at the pictures that emerged yesterday. Day two of a bombing campaign that is promising to continue for quite some time as

the Syrian regime promised this will be an attempt to eliminate what they consider terrorist targets. But clearly, hospitals, schools, people's

homes, ambulances are not terrorist targets -- Becky.

ANDERSON: Will, thank you.

Well, a world away from what is this carnage in Aleppo, the crisis in Syria waiting to be

addressed by Washington's new leaders.

According to a political commentator, S.E. Cupp, the issue cannot be ignored. Get her take and much more at CNN.com. That is CNN digital.

Still to come this hour, Egypt in the middle of a financial crisis. What is the cause and what is

the solution? We'll discuss that after this.

And down but not out. Hillary Clinton tells her supporters to keep the faith and to keep up the fight. Taking a very short break. Back after

this.

(COMMERCIAL BREAK)

(BEGIN VIDEOTAPE)

JOHN DEFTERIOS, CNN EMERGING MARKETS EDITOR: A skyline of skyscrapers and bold architectural wonders are just some of the tangible signs of

Singapore's status as Southeast Asia's financial hub. In the five decades since its independence, the swampland of less than 750 square kilometers

has rapidly urbanized and become a poster child of modernist construction.

But now, the city is reaching into its past while constructing its future.

TAN HUEY JIUN, DIRECTOR, URBAN REDEVELOPMENT AUTHORITY: If this is no longer here and it is all sthe high-rise, skyscraper, modern glass and

steel look, I think we will have lost something.

DEFTERIOS: Tan Huey Jiun is the director for conservation planning at the Urban Redevelopment Authority. Her team looks after conserved buildings

and lays out the sales conditions for developers looking to buy historic sites. In 2007, she became working on what is now south beach, a 35,000

square meter development with commercial, residential, retail spaces, as well as a hotel that completed earlier this year.

JIUN: This area was very historic. Three of the buildings were here for the Singapore volunteers (inaudible). This is also where we will say it's

the beginning of the Singapore armed forces.

DEFTERIOS: Along with the NCO club, the four army buildings once housed a drill hall, military court, armory, the officer's recreation club, now

converted into restaurants and bars.

JIUN: I think this is the most way to go. Because we can't just keep something pristine in a glass box or like a white elephant. I think all

buildings needs to be relevant to today's functions. Sometimes we need to allow new users to come in and new memories to be formed.

DEFTERIOS: The conserved buildings in South Beach are complemented by new tower blocks, an office building and a luxury hotel, finished off with an

environmental canopy linking the structures of past and present. Tan says history provides an important incentive for developers to

restore old buildings.

JIUN: I would think they can sell it as a unique selling point. My development has this old gem that other competitor do not have.

DEFTERIOS: Old gems given a new lease on life in a city undergoing constant change.

John Defterios, One Square Meter, CNN.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

(HEADLINES)

[10:31:09] ANDERSON: Well, Mr. Abe may be the first to meet with Donald Trump, but it was the Egyptian president, Abdul Fatah el-Sisi who

apparently made the first call to the president-elect with congratulations.

President Sisi hoping for stronger relations with the U.S. as Egypt grapples with an economic crisis.

Well, the central bank recently floated its pound currency leading to a sharp weakening against the U.S. dollar. Last week, the IMF approved a

loan for Egyptian worth $12 billion.

For more on this, let's get to Ian Lee, who is in Cairo for us.

Is there room for optimism at this point? There doesn't look as if there is an awful lot of it.

LEE: Becky, there is a bit of room for optimism when you look at certain industries. First, you have Egypt finding the largest gas field in the

Mediterranean. You also have minerals that are being discovered in upper Egypt, including gold. You have the Suez canal, which

the Egyptian government is focusing on creating services for the shipping industry, something that they have been meaning to

do, which could be a big boom for Egypt.

And also, you have tourism. Tourism is down, but tourists will come back because it is

Egypt. And they have the pyramids and everyone wants to see them.

But it is going to take some time to get these industries going. There's a lot of reforms that need to take place. And right now, we have seen

inflation rise. That includes the increasing costs of medicine as well as food. And it is for Egyptians who live day by day that are feeling it the

most.

(BEGIN VIDEOTAPE)

LEE: Desperation in Egypt as the currency plummets.

"I have four kids. I can't provide for them. Egyptian money is worthless. This 200 pound note has essentially become 20, says this street vendor."

The pinch felt hardest at the market, food prices increase by as much as 50 percent, and that's not all. Transportation from the market has doubled,

so we increased our prices. So whoever used to buy 2 kilograms now buys 1 kilogram, says this fruit vendor. Electricity, fuel, medicine, everything

is more expensive than it was.

"We have just finished paying school tuition and now we face the increase in prices. We have nothing left," says this man.

It wasn't supposed to be this way. Less than two years ago, Egypt declared it was open for business hoping to revitalize the economy after two

political uprisings, hosting a conference to attract foreign investment, appropriately called Egypt the Future. The country invested in bold

projects like expanding the Suez Canal. But the future turned bleak after a series of setbacks. Two airplane disasters since last year scared away

tourists and their money. Egypt introduced capital controls to keep the dollars in country, but it discouraged foreign investors. The black market

thrived while dollars dried up and inflation rose.

TIMOTHY KALDAS, INSTITUTE FOR MIDDLE EAST POLICY: I think a fundamental problem is the government has long mistaken transparency for a liberal

luxury when, in fact, it is a necessity. The reality is the worst is not over. The population is going to be hit by very hard inflation, and the

government should be explaining in very clear detail how they plan to deal with that.

LEE: Egypt needed a change. The central bank has floated the currency and loosened capital

controls, hoping to woo back investors. But in just one night, the Egyptian pound lost half its value against the dollar. Friday, the IMF

granted Egypt a $12 billion loan over three years. The goal? To stabilize and restructure the economy.

The average Egyptian made the equivalent of roughly $140 a month before the difficult but

necessary devaluation. Now, it is about $70, putting them barely above the poverty line, a move that angered many, but Egypt's prime minister vowed

every day essentials wouldn't disappear.

The government released a TV ad urging patience, saying bold reforms will shorten the way. But patience is in short supply for Egyptians at the

market, struggling day by day, even a shortened way can seem too long.

(END VIDEOTAPE)

[10:35:50] LEE: And Becky, when you look at the Egyptian economy and you talk to economists and businessmen, the one thing they say is the anger

that is holding it back is the bureaucracy. If you look at where you're at in Abu Dhabi, the Emirates has grown leaps and bounds over the past

decades. And Egypt really needs to cut the red tape if they're going to take advantage of the areas where they can grow and really get this economy

back on track, that is something that the IMF has been talking about, it's something the Egyptian government has been talking about, but really,

that's what is going to be crucial to see Egypt recover -- Becky.

ANDERSON: Yeah, very good point.

All right, Ian, thank you for that. Ian Lee is in Cairo for you.

More now on one of the top stories this hour, the Trump transition. The U.S. president-elect has just weeks to put together a team tasked with

leading the country going forward. And amid reports of political infighting within his camp, Donald Trump now making a bold move.

Sunlen Serfaty explains.

(BEGIN VIDEOTAPE)

(BEGIN VIDEOTAPE)

SUNLEN SERFATY, CNN CORREPSONDENT (voice-over): President-elect Donald Trump's transition team now moving to uphold this campaign promise.

TRUMP: We are going to drain the swamp.

SERFATY: Unveiling a new lobbying ban, requiring anyone under consideration for a job in the Trump administration to sign a written pledge to terminate

their lobbying. And when they leave office, they will be banned from being a lobbyist for five years.

MILLER: We talk about draining the swamp. This is one of the first steps.

SERFATY: But as they make headway on some aspects of the transition, other parts are still slow moving. Trump's team has not yet contacted the

Pentagon, State Department or other federal agencies to inform them about the transition, with major Washington agencies saying they're still left in

the dark.

But Trump's team says they're moving forward on this today, readying to announce their so-called landing teams, made up of transition staff that

will deploy and interact with the Department of Justice, State, Defense and national security with other agencies to follow.

SEAN SPICER, CHIEF STRATEGIST & COMMUNICATIONS DIRECTOR, RNC: We made tremendous progress in giving the president-elect some ideas about how to

move forward with his core team and potential members of his cabinet.

SERFATY: Today in Trump Tower, a flurry of meetings lined up for the president-elect, including South Carolina Governor Nikki Haley, a former

Trump detractor...

GOV. NIKKI HALEY (R), SOUTH CAROLINA: That's not who we want as president.

SERFATY: ... now under consideration for secretary of state.

Meantime, new reports suggest that Jared Kushner, Ivanka Trump's husband, could likely wind up with top national security clearance and become a key

adviser to Trump. Trump's team rejecting concerns over nepotism and a potential conflict of interest.

SPICER: Jared's, obviously, been a very important part of this campaign, and he's someone that the president-elect trusts very much. But what that

role is, like anyone else, is going to be up to the president-elect.

SERFATY: The transition team continuing to dispute reports of internal disarray and infighting.

CONWAY: It's false to say it's not going well.

SERFATY: This as the head of the transition, Vice-President-Elect Mike Pence, sat down with Joe Biden Wednesday. Biden promising his successor

that he'll be available 24/7 for advice.

BIDEN: No administration is ready on day one. We weren't ready on day one. But I'm confident on day one everything will be in good hands.

(END VIDEOTAPE)

ANDERSON: One of Trump's repeated targets during the election campaign was Fox News anchor Megyn Kelly. Well, now, she has told CNN that Trump

threatened to use his clout on social media against her after she broadcast a story he didn't like.

Anderson Cooper, my colleague, spoke to her about it. And this is part of that conversation.

(BEGIN VIDEO CLIP)

ANDERSON COOPER, CNN ANCHOR: You said in the book that he threatened you.

MEGYN KELLY, FOX NEWS: He did. So he was very angry that I aired that segment. And, you know, I said look, I did you a favor, you know. I had

nobody was even telling you the other side of that, they were just accepting this as the relevant story. He didn't see that way and ultimately

I said, look, Mr. Trump, you don't control the editorial in the "Kelly File" and that was it. He said that's it. You're a disgrace. You ought to

be ashamed of yourself. And then he said oh I almost unleashed by beautiful Twitter account against you and I still may.

And that was four days before the presidential debate at which I knew I was going to open with a tough question about women, not about Ivana Trump but

about women. So, you know, going in I had some nerves because I had feeling he wouldn't like it. But I had to do my job.

COOPER: I want to play that moment just for -- not that every viewer in the world hasn't seen it already but let's just play it.

KELLY: You called women you don't like fat pig, dog, slobs and disgusting animals, your Twitter account ...

TRUMP: Only Rosie O'Donnell.

KELLY: No it wasn't. Your Twitter account ...

TRUMP: Thank you.

KELLY: For the record this was well beyond Rosie O'Donnell.

TRUMP: Yes, I'm sure.

KELLY: You once told the contestant on "Celebrity Apprentice" it would be a pretty picture to see her on her knees.

TRUMP: Honestly Megyn, if you don't like it I'm sorry. I've been very nice to you. Although I could be probably maybe not be based on the way you have

treated me but I wouldn't do that.

COOPER: Looking at it now? What do you think?

KELLY: What I thought in the moment which was that was a veiled threat, and I understood why he was suggesting I hadn't been nice to him. And, you

know, I figured out at the time, maybe he's going to come after me a bit on Twitter and that will be that. I mean this is in part of the nature of our

jobs. Sometimes politicians are unhappy with our coverage and you had to take it.

So that's what I taught was going to happen. You know, he's beating up on me pretty good in the days after that debate and then it just started to

take on a different tone and it started to have just different words and by, you know, the following night he was on with Don Lemon and made those

blood comments. And that just changed everything in -- in the debate.

You know, I mean it was, I went to the beach to be with my husband and my kids later that night. I saw Don that night, normally I'm not watching him.

I love Don. But I saw the next and we pre taped the "Kelly File" and Trump had insisted that he go on at 9:00 on CNN across for me. You guys let him

go on commercial free for 30 minutes and we still beat you. Not you. It was Don. And he -- that's when he made those comments. So, I got in the car to

go to the beach after that, and I was looking through my phone and just the internet lost its mind over those comments and I see politicians tweeting

out "I stand with Megyn." I was like, what the? You know, the presidential candidates and just things would never be the same again. It was just ...

COOPER: You had to get security. I mean you had -- even to go to Disney World I think with your family you had have a security.

KELLY: We had security guards the whole year. I mean the threat level just got so high that it was impossible not to take that seriously. And, you

know, is not like I was walking around actively believing that somebody was going to necessarily try something but it was high enough that we had to

take it seriously.

COOPER: But you write about in the book, that a Fox executive actually said somebody to the Trump campaign about, you know, it would not be good for

you if Megyn Kelly is killed.

KELLY: So, Michael Cohen, who is a Trump's top lawyer and an executive vice president with the Trump Organization had re-tweeted, "lets gut her," about

me. At a time when the threat level was very high which he knew. And Bill Shine, an executive vice president of Fox called him up to say you got to

stop this. Like we understand you're angry but this is, you know, she's got three little kids, she's walking around New York really. And what Bill

Shine said to Michael Cohen was, let me put it to you in terms you can understand, if Megyn Kelly gets killed it is not going help your candidate.

COOPER: The fact that an executive at your company though, I mean that's an actual thought, you know, that's out there, that's a real concern is

incredibly telling.

KELLY: Well listen, there is no question that some of the tactics engaged in by those supporting in team Trump were questionable. You know, Michael

Cohen, did that. Corey Lewandowski specifically threatened me if I showed up at the second debate hosted by Fox News, which our executive vice

president said that to him, "knock him off, you don't threatened our reporters, she will be there". And that was the one that Trump skipped.

And, you know, it went on from there. I mean even as recently as right before Donald Trump won his online social media guy issued another threat

saying wait till you see what happens to her after this election. But ...

COOPER: You took that as a threat, as a personal threat or as a professional threat.

KELLY: I'm going to take that -- it's Trump's golf caddie who now runs his online services, right, goes like I don't -- he's trying to get my

attention I guess. But, the point is these are not your normal tactics that we see in a presidential race, unleashed against a journalist who asked a

tough question.

COOPER: I don't think it would have made any difference but some in reading the book have criticized you for not revealing all of this the conversation

you had with Trump before where, you know, he talked about unleashing his beautiful Twitter on you, kind of holding on to that until the book came

out. Do you think it would have made any difference?

KELLY: No. I mean, do you think if the "Access Hollywood" tape didn't make a difference and the 12 female accusers didn't make a difference and the

Khan family and Judge Curiel, none of that mattered that my -- you know, he mentioned his beautiful Twitter account was going to be a game changer.

You know, my approach in this was I wanted to be honest, so I had revealed that I received some death threats and I had a guard and, you know, that

the level was getting a little dangerous, but I didn't want to make it anymore about me. You know, Trump kept trying to make the story about me

and the story was about him and ultimately Hillary Clinton, but in the early days him and the other Republicans.

I didn't -- I just -- I write in the book in sophomore that, I felt like a human being who had been dropped into a shark tank and there were passers

by looking in slightly horrified at what was going on and all I wanted to do last year was get myself out of the shark tank. And it was not going to

help to chum up the waters more with -- and he did this and he did this and here is my reaction to that, I just -- i didn't want to be the story. Even

when the he was making the comments, the blood comments the other things, we didn't even cover it on the "Kelly File". Just didn't even want to watch

it.

(END VIDEO CLIP)

ANDERSON: Megyn Kelly speaking to my colleague, Anderson Cooper.

Meantime, Hillary Clinton has made her first public appearance since conceding the election to Donald Trump in an emotional speech to

supporters. She acknowledged it was a painful loss, but pushed them to keep on keeping on., especially for the sake of the future, she said.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, FRM. SECRETARY OF STATE: There are also children who are afraid today, like the little girl I met in Nevada who started to cry when

she told me how scared she was that her parents would be taken away from her and be deported. No child should have to live with fear like that. No

child should be afraid to go to school because they're Latino or African- American or Muslim or because they have a disability.

We should protect our children and help them love themselves and love others.

(END VIDEO CLIP)

ANDERSON: Well, that is Hillary Clinton speaking at an event for the Children's Defense Fund. The group has personal significance for Clinton.

She worked there as an intern at the start of her career, I'm told.

Live from Abu Dhabi, you're watching Connect the World. I'm Becky Anderson for you. You're very welcome.

Coming up, why the head of one tech giant is feeling optimistic about the Trump presidency. That interview is next.

And later, a man who believes hanging out of a helicopter, yes, adds a sense of wonder to

his pictures. His photos ahead are your Parting Shots this evening.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

[10:45:43] UNIDENTIFIED MALE: They are tech savvy. They are hungry for opportunity. They don't want your approval, they want to do it themselves.

They're restless for it.

(END VIDEO CLIP)

ANDERSON: Amid plunging oil prices and regional instability, Saudi Arabia looks to its young men and women to shape the future.

Riyadh announced its so-called Vision 2030, and it's all about energy of a different kind. The kingdom wants to harness the potential of its some 15

million tech savvy youngsters to plot a future that looks beyond oil. One young Saudi already has tasted the future. Have a listen.

(BEGIN VIDEO CLIP)

FANS HANI ALTURKI, FOUNDER & CEO, FARIS BREAKFAST: I started using a hashtag called #farisbreakfast, which became famous more and more. The

people who didn't know me asked me, where is this? And I used to talk to them always, this is not a place. This is my own breakfast

everywhere. One day, I asked myself, why don't I convert this into a real business that people come and try what I do offer as a breakfast? And it

was booming and a success. Because before we opened the store, we already had the customers. And we had a good pace to start with.

(END VIDEO CLIP)

ANDRESON: Saudi Arabia is, of course, a close ally of the U.S., and there are many questions about how America's relationship with the Arab world

might change under President Donald Trump.

I spoke to the chairman of tech giant Cisco, John Chambers, about what last year's political

earthquake means for America. We were both at the Misk Foundation (ph) in Riyadh over the past couple of days. And this is our conversation.

(BEGIN VIDEOTAPE)

JOHN T. CHAMBERS, EXEUCTIVE CHAIRMAN, CISCO SYSTEMS: I think very simply, the American people have spoken. And they want change. And what we talked

about in our conference here in Saudi Arabia was the importance of listening to market transitions and calling it right.

And so if you watch what occurred in the UK, clearly the people in Britain felt that the government leaders were not listening to them.

I think that is true in the U.S. where both on the Democratic side and the Republican side, both groups got too far away from their constituencies.

So, what the people are saying is, we want change.

ANDERSON: How is that going to happen, John? Because there are a lot of angry people around in the States at present.

CHAMBERS: Well, first of all, America after trying multiple things always gets it

right. And I think we will all settle back in to and give the new president a chance. And I think both political parties know that's the

right thing to do.

I think it also is very important to realize that a lot of people in the media and other groups got this one wrong. And did not realize how far the

common citizen wasn't happy with the direction of our country on both political sides.

So, I think we'll get it right and I think we will look forward, and look back a year from now,

high probability, we'll make the transition as America always does.

And what I hope is that we follow what is occurring in France and in India and other parts of the world.

ANDERSON: Does Donald Trump have an innovative vision?

CHAMBERS: I think any time you go through a political campaign, each group does what they have to do to win the election. And I think, clearly, the

American people have decided that they do want change, and that's a clear message.

Then I think it is up to our new president, and I believe that he will, to form a technology

policy to say, here's what we need to do that will enable many of the things that he talked about in terms of more job creation. America hasn't

had a raise in 15 years. We're leaing behind many in America. And it's very important both for the media and for Silicon Valley to understand that

at times, we were out of touch with what the average American was feeling.

So I think we'll bring it together and it won't be just more a segment of the population. I think we'll look back four years from now and say that

even though it was probably the most unique political campaign ever, that we'll look where we are, and I think the odds are good that we'll be well

ahead again.

We have got to realize, though, there is no entitlement. If we don't change as a nation at the time that France is changing and India is

changing, we will get left behind.

(END VIDEO CLIP)

ANDERSON: John Cisco speaking to me at the Misk (ph) global forum in Riyadh.

Live from Abu Dhabi, this is Connect the World. Coming up, a photographer combines his love of art and flying to capture these breathtaking images.

And more fallout from India's decision to replace its two largest bank notes. How the currency chaos is taking a toll on people seeking medical

care. That's coming up.

(COMMERCIAL BREAK)

[10:52:05] ANDERSON: People across India are growing more frustrated by the day, we're told, over the country's cash swap.

Now, the government scrapped the two largest rupee notes and issued new ones, but the change hasn't gone smoothly. And now, it is having an impact

on health care.

CNN's Alexandra Field with this report for you.

(BEGIN VIDEOTAPE)

ALEXANDRA FIELD, CNN CORRESPONDENT: Outside a public hospital in New Delhi, people are feeling the pain of change. Rahm Kishur (ph) brought his

11-year-old son here for medicine but he'll leave empty-handed.

He says, "I'll probably go back to my village tomorrow. I'll come back whenever I manage

to get change. What option do I have?"

A nationwide cash crunch is hitting hundreds of millions in the pocket. Now, adding suffering for some of the sick.

"We can't use the new 2,000 rupee notes," he says. We managed to exchange our money

to get the new notes but now the medical stores are saying they can't take that note because they don't have change.

The new notes are twice the size of what was in the market just a week ago. That means you have got a lot of retailers who simply can't make change.

That's frustrating if you're buying basic goods. But if you need something like medicine, the effects and consequences can be downright dangerous.

The problem gets worse as more and more of the country's new 500 rupee notes and 2,000 rupee notes hit the market. Small bills, like 100 rupees

are, in use but it can be tough to get your hands on them. Some ATMs are tapped out. There are long lines at others. People are still lining up

for days or hours to exchange old money, 500 and 1,000 rupee notes taken out of circulation with little notice.

What Modi did was great but the implementation has been extremely poor. This is very unfair for the poor people.

Continued fallout felt by the masses from the prime minister's plan to crack down on the rich

who he says are hoarding cash that's unaccounted for.

This decision came without any warning. Do you understand Mr. Modi's plan? Can you support it?

"We don't have a problem with Modi running the government," he says, "but please stop this ban on notes. If you have to do it, do it properly,

slowly, with a plan. This is making our lives very difficult. People who came for treatment are going back to their villages. For some, that's just

one hard choice.

She tells us, "my son wants to eat and it only costs 10 rupees, but I only have a 2,000 rupee

note." The shopkeeper won't change the note or give the food in credit. My son has been crying. What do I do?

For now, Rahm Kishur (ph) the only thing this man can do is ration the little medicine he has left for his son. He'll come back to New Delhi

whenever cash frees up.

Alexandra Field, CNN, New Delhi.

(END VIDEOTAPE)

[10:55:02] ANDERSON: Right. We are used to seeing amazing, aerial photography taken by drones these days, but how were they created back in

the day? Well, in tonight's Parting Shots, we meet a man who believes in doing it the old fashion way, loving the thrill, he hangs out of

helicopters, adding a little bit of drama to get these stunning images from above.

(BEGIN VIDEOTAPE)

UNIDENITIFIED MALE: Ever since I can remember, my two passions were art and flying. I studied art in school. And when I turned 17, I got my

pilot's license. I was fascinated by how the world looked from above.

I look for interesting patterns and relationships in the man made landscape. Particularly, I like

transportation systems, like airports and shipping ports and all the containers and their different colors, looking like giant Legos.

The airports, especially as the night comes on and the lights come up, are fascinating.

Another area I like to photograph is recreational, like the Griffith Observatory, the Getty Museum, beaches, public stadiums. I'm also

fascinated by how housing looks from above, how you can really see different economic classes in colors of the housing, like as you get into

the more affluent housing, the colors become more green and blue as there is more

pools and trees.

(END VIDEOTAPE)

ANDERSON: Wonderful.

I'm Becky Anderson. That was Connect the World. Thank you for joining us.

END