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Senior Ukrainian Defense Official Says Kyiv Region "Liberated"; Ukrainian President Volodymyr Zelenskyy Praises Defenders of Mariupol; Putin Aiming to Control Donbas by Early May; Former Ukrainian President: Time to Get Tough on Putin; Putin Ally Orban Faces United Opposition; Ukraine Claims Six Thwarted Russian Attacks in the East; Small Businesses Grapple with Inflation, Staff Shortages; March Madness; Sri Lankan Police Arrest over 600 for Curfew Violations. Aired 12-1a ET

Aired April 03, 2022 - 00:00   ET

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

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UNIDENTIFIED MALE (voice-over): This is CNN breaking news.

JOHN VAUSE, CNN ANCHOR (voice-over): Hello, welcome to our viewers in the United States and around the world. I'm John Vause, on a snowy Sunday morning, here in Lviv, with CNN's ongoing coverage of Russia's war in Ukraine.

Well, as Russian forces redeploy to the east of Ukraine, for what's expected to be a major offensive on the Donbas region, as many as 30 villages and towns north of the capital are, once again, under Ukrainian control, with the government declaring the Kyiv region liberated.

But this is not a Russian retreat. Once they have rearmed, refueled and reinforcements have arrived, the next stage to this 39-day long conflict is expected to begin.

Putin's new goal?

Total control of the Donbas, Ukraine's industrial heartland to the east. This is where the city of Mariupol has been under a weeks-long siege, where Moscow-backed separatists have waged an eight-year long war against Kyiv.

And this is where the best-trained, best-equipped soldiers with Ukraine's military are based. And soon they could be outflanked and surrounded. All of this might just explain the urgency among Western nations to supply more lethal, more effective military aid to Ukraine.

Sources telling CNN the U.S. now helping with the transfer of Soviet- era tanks from the Czech Republic. Armored vehicles are coming from Australia and Germany. Britain sending long-range artillery.

Without that increased capability for Ukrainian fighters, experts believe the Russians could wipe out the bulk of Ukraine's military in a matter of days.

U.S. military intelligence believes Putin might just be working through a schedule, looking to have some kind of military victory by May 9th, the day Russia celebrates victory over Nazi Germany.

And a warning now, the next images you are about to see are graphic.

The true horror of the Russian invasion is on full display now in the town of Bucha, a northern suburb of Kyiv. Journalists report at least 20 men dead in the street, all wearing civilian clothes. More details now from CNN's Phil Black.

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PHIL BLACK, CNN CORRESPONDENT: President Zelenskyy says Russian forces are leaving the north. In some cases, he says they are pulling pack voluntarily. From other areas, he says they have been expelled by Ukrainian counterattacks.

You do see it near the capital. Satellite images show there are positions that Russia claimed very early on in the invasion, then held, as it sought to surround Kyiv and which have now been abandoned; notably, the town of Bucha and the Antonov airfield.

An adviser to President Zelenskyy says there are some 30 settlements near the capital, which have been reclaimed from Russian control. Further north, Ukraine's flag flies again over the Chernobyl nuclear power plant, after Russian forces suddenly departed that site and the surrounding area.

But none of this is cause for celebration, because the Ukrainian government believes that these forces will simply replenish and then rejoin the fight in the east, where Russia will seek to expand and consolidate control over the Donbas region.

An adviser to President Zelenskyy says, if Russia gets a strong foothold in the east and the south, it will dig in, fortify those positions and Russia will be very difficult to dislodge, unless Western allies provide the Ukrainian military with more heavy weapons -- Phil Black, CNN, Lviv, Ukraine.

(END VIDEOTAPE)

VAUSE: To Washington now and CNN military analyst, retired United States Air Force Colonel Cedric Leighton.

Good to see you, Cedric, thank you very much for being with us. As he often does, the Ukrainian president posted a speech on social media Saturday night. He talked in part about battle for Mariupol and what comes next. Listen to this.

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VOLODYMYR ZELENSKYY, UKRAINIAN PRESIDENT (through translator): Our heroic Mariupol continues to hold back a significant part of the enemy forces.

Thanks to this resistance, thanks to the courage and resilience of our other cities, Ukraine has gained invaluable time, the time that allows us to undermine the enemy's tactics and weaken their capabilities.

(END VIDEO CLIP)

VAUSE: So how much longer can the Ukrainians hold off the Russians from taking Mariupol and the rest of the Donbas, especially if this region is about to be the focus of Russia's firepower in the coming days?

COL. CEDRIC LEIGHTON (RET.), CNN MILITARY ANALYST: John, I'm afraid it won't be long. Mariupol especially is extremely vulnerable and is practically in Russian hands right now, with 90 percent of the buildings -- at least 90 percent of the buildings destroyed in that city and reports of, you know, unparalleled death and destruction.

I believe that that city has, in essence, practically gone, from the Ukrainian standpoint. Now they can, of course, mount some resistance in certain areas.

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LEIGHTON: And they have proven to be extremely brave and resourceful in many of the areas that they've -- that they've contested the Russians in.

But if they don't get resupplied, if they don't get the types of weapons that they need in order to prosecute this war, it's going to be very difficult for them to continue with this level of resistance to the Russians.

VAUSE: Well, we're being told that the U.S. will help with the provision of heavy armor, including Soviet-era tanks to the Ukrainians. White House sources say they will be arriving in days, not weeks. They were sold to Sweden, who then sold them to Czech Republic and they will now be delivered to the Ukrainians.

So they have been around the block a few times. This is the type of heavy weapons we see Ukrainians need right now. No training required.

But will the Russians try and prevent delivery of these weapons by targeting supply lines on roads to the west near the border with Poland?

LEIGHTON: I think that's highly likely that the Russians would try to do something like that. If they don't, they, of course, risk affecting their own forces. Now, of course, I am looking at this through a Western lens, where we

try to make sure we protect our troops and do everything we can to make sure that the enemy doesn't get to a certain point in their supply or resupply efforts.

Now having said all of this, I think the Russians will, in fact, mount some kinds of attack on the supply lines that will be coming in from Poland and other NATO countries.

And it would be efforts that resupplying will be, I think at least, challenged by these attacks. If those attacks don't happen, then it also speaks volumes about Russia's capability and its capacity to do these things.

VAUSE: A closer look at the airstrike on a Russian fuel depot just across the border from Ukraine and looking at the helicopters that were used in the strike, the Ukrainians will neither confirm nor deny they carried it out.

What is your assessment?

LEIGHTON: So I believe it is about a 60 percent chance that the Ukrainians did this. And, you know, it's very clear that the two helicopters that we see in the videos are Mi-24 Hinds. Both Russia and Ukraine have these helicopters.

These helicopters have been around for quite some time in the old Soviet inventory and then, of course, the Russian and Ukrainian inventories. And it's, I think, likely at least that this was not a false flag operation because it really struck quite deliberately at a target that is very essential to Russia's war effort in the east.

And it also sends a signal to the Russians that their air defense system has gaps in it, significant gaps. And -- but it is actually quite vulnerable to attack from the outside. And I don't think the Russians would want to send that signal by mounting an operation that would reveal those kinds of things.

VAUSE: Also hearing from the Ukrainian government they are essentially declaring that area around Kyiv to be liberated.

What is your assessment of that?

Is that maybe a little bit too soon?

LEIGHTON: I think it is. I would love to say that it's actually a perfect assessment. But when you look at the placement of Russian forces, as well as the placement of Russian artillery, it still has Kyiv within its sights. Everything in Kyiv is still within range of some Russian artillery and certainly in range of airstrikes.

So I think it's a little bit too soon to say this whole region has been liberated. Certainly, pockets have been liberated from Russian forces. You know, when you talk about Irpin or the other suburbs like that, it's pretty clear that the Ukrainians have made significant progress. But the whole region is not yet free of Russian arms or Russian influence.

VAUSE: There's been a lot of talk coming from U.S. military intelligence as well as the Ukrainian side that Putin may be working toward a hard deadline perhaps of May 9. That is the day Russia celebrates victory over Nazi Germany.

It seems kind of arbitrary and random, though, doesn't it?

LEIGHTON: It does. I mean, I know that Putin tries to pick historic dates for certain purposes. But if it's going to be May 9, it's still a long way in terms of the types of destruction that could occur within that time to the Ukrainian nation.

And I think that is his goal, actually, to destroy as much of Ukraine as he possibly can. May 9th, yes, it would be a significant, symbolic date for him.

And having been at the site where the Germans actually surrendered to the Soviet Union in 1945 on May 9th, it is certainly something that the Soviets used to hold as a great significant date and a great significant achievement of theirs.

And I think that has carried over into Putin's regime. Whether or not he can do that, of course, remains to be seen.

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LEIGHTON: And if that date is something that changes, then I'm sure we will hear an excuse from Moscow that it really wasn't the date after all.

VAUSE: What are the chances that he turns his firepower in the Donbas region, maybe has some success there, and then just returns to the military offensive on the other cities here in Ukraine?

LEIGHTON: I think it's very possible that he might do that. I mean, one assessment, of course, that we have just heard was that he would move into the area around the city of Dnipro and then use that as kind of a waypoint to move in several different directions.

So in order to take Dnipro, he would have to go through the Donbas and to take a -- basically, all of it. Currently, the separatist forces only have a portion of the Luhansk and Donetsk regions of the Donbas.

So he could do that and then pivot, I think, to other areas that might include the southern coast, as well as eventually going back to Kyiv. So it's very possible that, you know, we are seeing just the first part of their effort.

And I think their ultimate goal has really not changed. And that ultimate goal, I believe, is the toppling of the Zelenskyy government.

VAUSE: It is just taking a lot longer, I guess, than they first thought it would. But Colonel, as always, thank you, sir. We appreciate you being with us.

LEIGHTON: You bet. Absolutely.

VAUSE: Even as Russian troops pull back in some parts of the country, aid groups are struggling to reach Ukrainians in harm's way. The International Committee for the Red Cross has managed to get into the battered city of Irpin in recent days, treating injured, delivering food and hoping to return next week with more supplies.

The aid group, though, was unable to reach Mariupol on Saturday after arrangements and conditions made it impossible to continue. Some 100,000 residents remain trapped there.

According to the U.N., more than 4.1 million refugees have fled Ukraine since the fighting began. CNN's Ed Lavandera is in the southern port city of Odessa and has more now on the efforts to get civilians to safety.

(BEGIN VIDEOTAPE)

ED LAVANDERA, CNN SENIOR NATIONAL CORRESPONDENT: In southern Ukraine, the main focus continues to be on efforts to resolve the humanitarian crisis that continues to escalate and worsen by the day; specifically, in the city of Mariupol.

That is where we still believe that there are more than 100,000 people that desperately need to be evacuated. One official says that the people left in the city are living like mice underground. We do understand that there had been efforts to create humanitarian corridors.

But after days and days of talking about this, it still doesn't seem to come to fruition. The International Red Cross says it has been trying to reach the city. On Saturday, they were once again unable to do so.

But we did hear that there were about 1,200 people or so, who were able to escape. They had to do so by driving their own vehicles to get away from Mariupol. And if you have been following this story, just it's hard to overstate how dramatic and how dangerous that has been for tens of thousands of other people, who have tried to flee their villages and cities in similar ways.

So that is the situation that continues to unfold and will continue to unfold for the days to come, as that situation continues to worsen.

Down the southern part of Ukraine here in Odessa, where we are, there were significant -- three missile strikes that were launched at this city Friday evening. There is not a whole lot of information that has come out from that.

But one military official did say that the missiles that were fired came from the Crimean Peninsula and that they did not hit their intended targets here in the Odessa region. But the extent of how many people injured is not clear and exactly where these missiles landed is not clear, either.

(END VIDEOTAPE) VAUSE: Ed Lavandera there in Odessa.

Thank you, Ed, for that report.

Now Russia's war on Ukraine has claimed the life of another journalist. Maksym Levin was killed by Russian forces in Kyiv, according to the office of Ukraine's attorney general.

The photojournalist was found unarmed, two gunshot wounds. He worked for a number of major Western news outlets, including Reuters and the BBC.

In a statement, Reuters said it is deeply saddened by his loss, called his death a huge loss to the world of journalism. His bio described himself as a documentary photographer, videographer, father and a human being.

Well, could this be a day of reckoning for Hungary's prime minister Viktor Orban?

Coming up, as voters go to the polls, Orban, a close ally of Vladimir Putin, is now facing a tough re-election.

Also ahead, one of Putin's biggest critics tells CNN, you just can't believe what the Russian leader says and warns of the dangers if Putin is victorious over Ukraine.

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VAUSE: Welcome back, everyone.

A former president of Ukraine is warning the world, get tougher on Russia. Petro Poroshenko tells CNN, a Russian victory in Ukraine will not only embolden Vladimir Putin but authoritarians the world over.

(BEGIN VIDEO CLIP)

PETRO POROSHENKO, FORMER UKRAINIAN PRESIDENT: (INAUDIBLE) the sanctions. We should introduce the embargo, especially on Russian oil and gas, because they -- every single day of absence of the embargo means they will be world pay to Russia $1.5 billion per day. And this is every single day, 500 tanks or 300 (INAUDIBLE) missiles.

And I want to address to this nation, (INAUDIBLE) that we need to be strong, united against Putin. Putin go as far as we, together, allow him to go. That's why we should be ready to stop him in Ukraine.

(INAUDIBLE) every single day, by tons of Ukrainian blood, by lives of Ukrainian hero and they are fighting here, not only for Ukraine but for the whole world. And please, help us to save you. (END VIDEO CLIP)

VAUSE: Petro Poroshenko there. He also dismissed any Kremlin talk of deescalation in Ukraine as words without deeds.

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VAUSE: Well, Putin's war in Ukraine is putting increased pressure on his political allies, especially in Europe. Hungarian prime minister Viktor Orban is a longtime Putin supporter.

And with polls now open, the right-wing leader is facing his toughest re-election bid in more than a decade. His opponent argues Orban is simply a Putin wannabe. Here is CNN's Matt Rivers, reporting in from Budapest.

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MATT RIVERS, CNN INTERNATIONAL CORRESPONDENT (voice-over): Viktor Orban by most measures is the E.U. leader closest to Vladimir Putin recently. Just three weeks before the war began, Orban took a trip to Moscow, welcomed by Putin across a very long table.

National elections in Hungary on Sunday will test whether Orban's 12- year run as prime minister will go another four years.

And his relationship with Putin is suddenly at the center of Hungarian politics.

What began as a campaign focused on local issues now has opposition leaders determined to link Orban with Putin and his bloody war in Ukraine.

With political attack ads painting Orban as Moscow's puppet, a strongman leader determined to side with authoritarian Russia instead of the democratic West.

This ad saying, quote, "We want Hungary to be a Western country again. If you're voting for Orban, you're voting for Putin."

Or this one saying, quote, "Orban, tell your friend of 12 years, don't kill."

Orban has undeniably supported Putin, vetoing sanctions against Moscow over the years and expanding the Russia-Hungarian partnership.

GABOR TOKA, SENIOR RESEARCH FELLOW, CENTRAL EUROPEAN UNIVERSITY: For Russian policies of Viktor Orban, which are a very important building block of his entire political position, are now exposed.

RIVERS (voice-over): And with Putin's popularity plummeting, the opposition calculus is simple: Orban plus Putin equals a winning political strategy.

But not so fast because Orban is fighting back. Call it a flip-flop or a pivot, but Orban is no longer Putin's best buddy. Even though he's not openly criticizing him personally, the Hungarian leader went along with initial E.U. sanctions against Russia, describing the invasion as Russian aggression.

And despite being vehemently anti-immigrant for years now, has let in hundreds of thousands of Ukrainian refugees in the past few weeks.

VIKTOR ORBAN, HUNGARIAN PRESIDENT: (Speaking foreign language).

RIVERS: He says, "We are a great country, which gives everything to people who are fleeing trouble."

Since the war began, Orban has refused to let weapons pass through Hungary to Ukraine or provide military aide.

But he's deflected criticism of that by claiming he is simply a man of peace, counting on the notion that many Hungarians want nothing to do with the war.

TOKA: The gut reaction of most of the public is that, oh, oh, oh, we should not get involved with this thing, yes?

RIVERS: And Orban has taken advantage of that.

TOKA: And that's what are trying.

RIVERS (voice-over): Whether it works remains to be seen. But polling, which isn't always reliable in Hungary, has Orban and his party out in front.

One big name the opposition hopes with will change that:

VOLODYMYR ZELENSKYY, UKRAINIAN PRESIDENT (through translation): Listen, Viktor, do you know what's on in Mariupol?

You have to decide for yourself who you are with.

RIVERS: That's Ukrainian President Volodymyr Zelenskyy, who has criticized what he calls Orban's lack of support for Ukraine's fight for its existence.

But it's not clear if that will be enough.

UNIDENTIFIED MALE: (Speaking foreign language).

RIVERS (voice-over): At an anti-Orban rally on Saturday, Ukraine flags flew and the crowd pushed the Orban-Putin narrative. But not many people showed up.

Whether that's an ominous sign for the opposition or just the result of cold, rainy weather, we'll find out when the votes come in -- Matt Rivers, CNN, Budapest, Hungary.

(END VIDEOTAPE)

VAUSE: Well, Ukrainian troops captured by Russia are speaking out after being swapped in a prisoner exchange. Coming up, hear what they reportedly had to endure whilst in Russian captivity.

Also ahead. Russia's president reportedly under pressure to show military results in Ukraine. U.S. intelligence believes he will try to do that in a matter of weeks. And we will explain when we come back.

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UNIDENTIFIED MALE (voice-over): This is CNN breaking news.

VAUSE: Welcome back, everyone. I am John Vause live in Lviv, Ukraine, with the latest developments here.

The deputy defense minister now says the entire Kyiv region has been liberated, cleared of Russian forces. CNN cannot independently confirm that.

Still, Ukrainian troops have been gaining ground around the capital, as the Russian military says it is deescalating. To the east, Ukraine says it has beaten back six Russian attacks in the Donetsk and Luhansk regions.

This statement says a number of Russian tanks and other armored vehicles have been put out of commission.

Back in Kyiv, two former Ukrainian POWs, who were part of a prisoner exchange, are now talking about their captivity. They told CNN Russian troops forced them to shout, "Glory to Russia" while imprisoned and those who refused were beaten.

Well, with his offensive on Kyiv now stalled, the Russian president Vladimir Putin reportedly changing goals here in Ukraine. And his timeframe could be a day that holds an important place in many Russians' hearts and minds. CNN's Arlette Saenz has our report.

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ARLETTE SAENZ, CNN CORRESPONDENT: Russia is starting to shift its war strategy in Ukraine, trying to focus on taking control of the Donbas and other regions in Eastern Ukraine with the possible target date of May 9th. That is according to U.S. officials familiar with the latest intelligence.

And those officials say that Russian president Vladimir Putin is starting to feel the pressure to show some type of victory in Ukraine, as his fighters had a hard time keeping control in the areas where they've been fighting.

Now that May 9th date also has some historical significance. In Russia, it is considered a victory day when they celebrate the Nazis surrendering during World War II. But there are also some tactical concerns when it comes to that May

9th date. With winter starting to fade away and the ground softening there, the Russians are trying to get their units in as quickly as possible.

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SAENZ: That's according to an intelligence assessment from the U.S.

Additionally, in that Eastern Ukraine area, there have been, for years now, Russian-backed fighters with a strong presence there. One other thing that CNN has learned is that the U.S. believes that Russia soon may announce and name an overall commander for their war in Ukraine.

This follows previous reporting that Russia did not have an on-the- ground, theater-wide commander running the operation in Ukraine, which has contributed to some of the disorganization and dysfunction seen among Russian troops.

Now as the Russians are starting to shift their focus toward Eastern Ukraine, the U.S. and allies are really stepping up their support militarily and defense wise to the Ukrainian fighters.

Just this weekend, the U.S. authorized sending over $300 million worth of security assistance to Ukraine. This would include suicide drones, night vision equipment, as well as anti-drone systems, really bringing the total that's been contributed to Ukraine to more than $2.3 billion.

Now additionally, sources have told CNN that the U.S. is working to help facilitate the transfer of Soviet-made tanks from allied countries into Ukraine. It's unclear just now where those tanks will be coming from or how many will be sent.

But these tanks, one source says, would be T-72 tanks, which the Ukrainians know how to operate. And this one source also said they would be sent over in a matter of days, not weeks.

But clearly, the next five weeks of this war will be pivotal, as Russia is trying to make a point, trying to show some type of victory. But U.S. officials say, even if there is a Russian celebration, that does not mean that an absolute victory is at hand, especially as Ukrainians continue to put up a fight.

(END VIDEOTAPE)

VAUSE: Well, now to the story of how a teenager survived the besieged city of Mariupol. The 14-year old said she turned to art as a coping strategy.

(BEGIN VIDEO CLIP)

VAUSE (voice-over): She drew these sketches to help distract her from the violence surrounding her and her family, as they hid inside a basement while the Russian military launched a major offensive outside. KARINA IVASHCHENKO, ARTIST (through translator): I drew my fears. I

was afraid of the war. I was afraid when they shot in the streets. Every day, it got worse and worse. Then strong explosions began. Even in the basement, the walls began to shake.

The shooting also hit into the basement a little. Then, a huge fire started in the house. It was very scary. When I came out of the basement into the street, all the houses were on fire. Black smoke, everywhere, all houses, all glass, it was simply gone. I drew this for myself, for future, so that later I could see what I experienced.

(END VIDEO CLIP)

VAUSE: Karina's family sheltered in the basement for days, no electricity, no heat, no water supplies. They have since managed to reach Poland but had to leave the father behind.

For more on how you can help ease suffering here in Ukraine, please go to cnn.com/impact. CNN viewers have already donated more than $7 million for what is much-needed relief and we thank you for that.

Let's go now to New York. Alison Kosik is standing by there with some of the other day's news.

ALISON KOSIK, CNN ANCHOR: Hey, John, thanks very much.

They made it through pandemic shutdowns. But some small U.S. business owners say the soaring cost of goods and gasoline is threatening their survival. Ahead on CNN, how they are fighting to keep their doors open.

Also, as Muslims around the world begin Ramadan, many are finding the price of food has gone up. What that has to do with the war in Ukraine, when we come back.

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KOSIK: Welcome back. I am Alison Kosik in New York.

Right now, many U.S. businesses are trying to weather soaring inflation and fuel costs and an environment where there seem to be more available jobs than available workers. CNN's Nadia Romero visited a bakery near Atlanta, Georgia, where difficult financial decisions have to be made every day.

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NADIA ROMERO, CNN CORRESPONDENT: Every step of the baking process now costs more.

KASCHA ADELEYE, CO-OWNER, KUPCAKERIE: When you look at your cost of goods sold and you're like, whoa.

ROMERO (voice-over): Almost eight years ago, Kascha and Henry Adeleye started Kupcakerie in East Point, Georgia, their baking business almost a bust during pandemic shutdowns.

K. ADELEYE: So that first two weeks was probably the scariest time of my life, period, because we just did not know.

ROMERO (voice-over): But Kupcakerie has kept backing and surviving. The president touting booming job growth nationwide, wages up, unemployment down. Georgia Commissioner of Labor Mark Butler says the state is an example of record-breaking bounceback.

MARK BUTLER, GEORGIA COMMISSIONER OF LABOR: Right now look at Georgia, we have been breaking records in a lot of different sectors, like we were talking about professional services, health care, warehouse and transportation. So we're doing really good all the way around.

ROMERO (voice-over): But inflation plagues the economy. Deliveries carried Kupcakerie through COVID. But now skyrocketing gas prices sour the sweet treats.

K. ADELEYE: Gas prices are ridiculous. So we had to increase our delivery costs for the first time ever.

ROMERO (voice-over): And baking staples ...

K. ADELEYE: Doubled, the costs for each cupcake at this point.

ROMERO (voice-over): In 2019, Kupcakerie would pay about $18 for 15 dozen eggs. Now --

HENRY ADELEYE, CO-OWNER, KUPCAKERIE: They are $55 for 15 dozen.

ROMERO (voice-over): Cream cheese, about $6 per three-pound loaf; now --

H. ADELEYE: $11 for a loaf, so almost double the price of that.

ROMERO (voice-over): Their bottom line just didn't add up.

H. ADELEYE: Last year we actually had our busiest year ever and our lowest profit margin ever as well.

ROMERO: How does that happen?

H. ADELEYE: Just everything is going up, like tenfold.

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UNIDENTIFIED FEMALE: That will be $39.81.

ROMERO (voice-over): So the first time, Kupcakerie's cupcakes now cost 5 percent to 10 percent more.

K. ADELEYE: You want a cupcake, we have to -- we've got to charge the cost to make them.

Banana pudding, red velvet.

ROMERO (voice-over): Customers take note.

TONIE BUDGET-PRICE, KUPCAKERIE CUSTOMER: I did frequent another bakery, where their cakes are -- they're nice. But their prices are excessive. So, again, another reason for me to come and have the opportunity to try something different at a cost that I feel is inviting.

ROMERO (voice-over): A recent U.S. Chamber of Commerce survey shows most small business owners have raised their prices due to inflation while also making big changes to attract a strong workforce.

BUTLER: I still think we're a ways off to figuring out what the landscape will look like because there's been so many resets when it comes to the cost of goods, the cost of doing business and wages.

ROMERO (voice-over): With baby number two on the way, the Adeleyes fight to open a second Kupcakerie location, despite their challenges.

H. ADELEYE: Sometimes you can't sleep at night when you see the numbers. But we're a business and we know we have to stay in business.

ROMERO: Georgia Commissioner of Labor Mark butler says, when inflation is driven by increases in wages, that's not something you can easily roll back. But he says answering the question of how do you stop inflation is harder now than it's ever been -- Nadia Romero, CNN, Atlanta.

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KOSIK: Parts of the Middle East and North Africa are hugely dependent on wheat from Ukraine and Russia. The Muslim holy month of Ramadan is beginning and many are finding the price of food becoming unbearably high. CNN's Kim Brunhuber has the story.

(BEGIN VIDEOTAPE)

KIM BRUNHUBER, CNN ANCHOR AND CORRESPONDENT (voice-over): Baskets of colorful grain for sale at a market in Iraq. But for many families, the price of buying bread and other staples this holy month of Ramadan is just too high.

UNIDENTIFIED FEMALE (through translator): Everything is expensive. Meat is expensive. We will not buy it. Other things like sweets, we will not make them. They are expensive. The same with the oil. We can't even use it anymore.

BRUNHUBER (voice-over): During Ramadan, Muslims fast during the day, then gather with friends and family to eat traditional foods when the sun goes down at night.

But the World Food Programme warns, this year, that meal will be a costly one. Food prices were already high in some countries because of weak economies, global supply shortages and security concerns. Well now, they're rising even more because of the Russian invasion in Ukraine.

UNIDENTIFIED FEMALE: Energy and food prices have gone up. That has had a broader impact on many developing countries, especially those that are import dependent on wheat from Ukraine and Russia and where the wheat is their staple food. So those are countries like Egypt, like Tunisia, as well as Yemen, Lebanon.

BRUNHUBER (voice-over): Ukraine and Russia are both major exporters of wheat and sunflower oil. And though this supermarket in war-torn Yemen looks well stocked, customers say they can no longer afford many of the items on the shelves.

UNIDENTIFIED MALE (through translator): The people are living in a state of distress and cannot take it anymore. Prices have now increased by 50 percent to 70 percent.

BRUNHUBER (voice-over): The U.N. says, since the war in Ukraine began, cooking oil is up 36 percent in Yemen and 39 percent in Syria. Wheat flour is up 47 percent in Lebanon and 15 percent in Libya.

Tunisia was suffering from a political and economic crisis before supplies imported from Ukraine and Russia were disrupted. Now some bakeries say they have had to close because they can't find any flour. And many shoppers face long lines for bread if supplies haven't already run out.

Stores in Lebanon are also cutting back. This shop, which has been in business for 100 years, says it's just too expensive this year to make some of its traditional Ramadan sweets.

Before the invasion, Lebanon's economy was already spiraling out of control. And since then, prices have only risen, because the country imported some 60 percent of its wheat from Ukraine. The sticker shock for some is just too much.

UNIDENTIFIED FEMALE (through translator): I've never experienced a year like this before.

Where is the joy of Ramadan?

Before, we used to look forward to it. But not this year.

BRUNHUBER (voice-over): For many, who were already struggling, the shortages caused by the war in Ukraine are making a bad situation worse. This Ramadan, there will be even less on the table -- Kim Brunhuber, CNN.

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KOSIK: It has the makings of a huge crisis at the U.S. border. A restriction that kept migrants out is ending just as thousands of asylum seekers are expected at the border. We will take a look at that next. Plus, it's April but we just learned who will take the stage for the

final act of March Madness. Who is still in the running for one shining moment -- after the break.

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KOSIK: Welcome back. I am Alison Kosik.

In less than two hours, Pakistan's parliament is set to hold a vote of no confidence in prime minister Imran Khan. He said, in a televised address, he would not resign ahead of the vote. And he accused the opposition of toppling a government and being under foreign influence.

Last week, he lost the majority in parliament and current predictions suggest he could lose the no confidence vote barely. We will bring you the latest on the vote throughout the coming hours.

Police in Sri Lanka say they have arrested more than 600 people for violating a weekend curfew. The curfew was launched amid unrest over a struggling economy and as anti-government demonstrations grow.

People have been crowding stores to buy food and other essentials after the president declared a state of emergency. This as a foreign exchange crisis batters the local currency. Now protesters are taking aim at the curfew itself.

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ROSHITHIA PERERA, PROTESTER: Having curfew is not going to help anybody. People have to run businesses. People have to -- these two drivers, they need to live that.

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PERERA: They live on a daily wage. They do run their (INAUDIBLE) to go like (INAUDIBLE) people out. People are suffering. This is going to keep -- be a continuous thing.

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KOSIK: The government says it is seeking help from the International Monetary Fund and loans from India and China.

On Tuesday, the U.S. government could end a Trump era restriction that kept thousands of migrants out of the country. It's called Title 42 and it's a pandemic restriction that effectively blocked migrants from crossing into the U.S. from Mexico.

Polo Sandoval explains why some officials say this is the worst possible time to make the change. (BEGIN VIDEOTAPE)

POLO SANDOVAL, CNN NATIONAL CORRESPONDENT: With the predicted surge in migrant families expected in the coming weeks, the Department of Homeland Security in the United States saying it is preparing for a worst-case scenario.

And that could mean, according to the federal government, up to 18,000 asylum seeking people showing up at the nation's doorstep.

That's certainly concerning, since some critics of the Biden administration and the announcement made on Friday have expressed concern that the infrastructure in many border communities is not ready to handle an expected uptick in these migrant families.

And the key issue here are these temporary communities of migrants that have basically popped up in Mexican border towns, including this one you can see, in brand new CNN drone video in Hermosa (ph), Mexico, just across the Rio Grande, just a few blocks from where I'm standing at this hour.

And these are migrants that, according to sources, many of them have been expelled back. There are others who have made that journey to the doorstep of the U.S. But due to that Title 42, public health authority have decided to wait out that policy until it's no longer an issue.

And then that announcement made by the Biden administration on Friday, that it will essentially allow that to expire come May 23rd, there's some concern from some of these Biden administration critics that many of those people still waiting there, potentially up to 10,000 in this border town alone, will seize that opportunity to finally show up at ports of entry and declare asylum.

And that is what is dividing many people in border towns across the country -- Polo Sandoval, CNN, Hidalgo, Texas.

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KOSIK: Monday night's March Madness men's title game is now set. Kansas easily defeated Villanova 81-65. They will meet six-time champions North Carolina for the title. The Tarheels defeated their bitter rival Duke in a nail-biter.

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KOSIK: Thanks for spending part of your day with me. I'm Alison Kosik. Stay with us. Our coverage live from Ukraine continues in a moment.

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(MUSIC PLAYING) UNIDENTIFIED MALE (voice-over): This is CNN breaking news.

JOHN VAUSE, CNN ANCHOR (voice-over): Hello, welcome to our viewers in the United States and around the world. I'm John Vause, live in Lviv, Ukraine.

As Russian forces redeploy to the Eastern Ukraine for what's expected to be a major offensive on the Donbas region, as many as 30 villages and towns north of the capital are once again under Ukrainian control, with the government declaring the key region liberated.

But this is not a Russian retreat. Once they've rearmed, refueled and reinforcements have arrived, the next stage of this 39-day long conflict is expected to begin. Putin's new goal: total control of the Donbas, Ukraine's industrial heartland in the east.

This is where the city Mariupol has been under weeks-long siege, where Moscow-backed separatists have waged an eight-year long war against Kyiv. And this is where the best trained, best equipped soldiers with Ukraine's military are based.

And soon they could be outflanked and surrounded. All of this seems to explain the urgency among Western --