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Connect the World

Shares of Credit Suisse Crash more than 20 percent to Record Low; Khan: Attempt to Arrest me is Politically Motivated; Court Orders Police to Pull Back from Imran Khan Arrest; WFP: Half of Syria's Population Food Insecure; Pentagon: Russian Jet Hits U.S. Drone, Forces it Down; Red Bull Pilot Lands Plane on Helipad. Aired 11a-12p ET

Aired March 15, 2023 - 11:00   ET




BECKY ANDERSON, CNN HOST, CONNECT THE WORLD: Well, this hour shares in Credit Suisse plummet causing widespread selling across markets. Also this

hour Pakistan on the brink police attempt to arrest the Former Prime Minister is rising inflation the cost of living crisis and increased

militancy ravages that country.

Russia warns the U.S. to avoid its airspace after the downing of an American drone over the Black Sea. That comes as Syrian President Bashar Al

Assad arrives in Moscow to meet Vladimir Putin his first visit outside the Middle East since last month devastating earthquake.

Well, let's get you to our top story banking fears spreading across global markets. This is the picture as things stand at present on the DOW Jones

Industrial average shares of Credit Suisse crashing more than 20 percent on Wednesday to a new record low after its biggest backer the Saudi National

Bank ruled out providing any more funding, citing regulatory and statutory reasons.

The Swiss National Bank and the European Central Bank have declined to comment on Credit Suisse shares crashing. But whether they comment or not

the panic that seemed averted on the markets once again embedded in investors' minds.

The DOW Jones Industrial average is down about one and three quarter percent. And on the opening, we saw a real slide in U.S. big banks. And

that was off the back of a real slide, a real decline in European big banks.

Credit Suisse, of course is one of those. Its shares are in a horrible mess at present. But we saw the contagion today on the European stock markets

and that is being reflected on Wall Street as investors there continue to grapple with banking, tumult after banking tumult, it seems after the

collapse of the Silicon Valley Bank, and Signature Bank.

All right, well, you've seen what the markets were doing in Europe and those in the U.S. as we are well into the U.S. trading day. Let's bring in

Anna Stewart here because I do want to talk about where we are at with all of this. And I want to start with Credit Suisse Anna, that's the story of

the day. Its U.S. listed shares, some 20 percent lower on the open, reflecting its shares that are listed in Europe. Why?

ANNA STEWART, CNN REPORTER: Yes, today Credit Suisse certainly at the sharp end of this very broad sell off on banking stocks in Europe and the U.S.

Currently down about 16 percent but earlier today, it was down 30 percent Becky, so shares really tanking here, as a result of a few issues.

We were actually talking about Credit Suisse yesterday; the latest bad news line from them was that they had weakness in their financial reporting.

Today, it's more about capital rising. This actually links to the broader setup we see and the link to Silicon Valley Bank, and it's collapsed last

week. And this link is all about interest rates.

And what that means for banking stocks the world over? What it means for the share price? As a result of long dated government bonds just being

worth that bit less. There are huge concerns about bank balance sheets, and whether capital raising is needed, which of course means more shares could

be issued could be diluted shares will be worth less.

Now for Credit Suisse specifically facing so many issues, a litany of scandals and failures of corporate governance risk management over the last

couple of years and in midst of a huge restructure someone asked its biggest shareholder, the Saudi National Bank, the Chairman, whether they

would be raising their stake in Credit Suisse?

And this is what he said to Bloomberg. He said the answer is absolutely not for many reasons. I'll cite the simplest reason, which is regulatory and

statutory. We now owe 9.8 percent of the bank. And if we go above 10 percent, then all kinds of new rules kick in.

It's to do with regulation essentially, it's not though he later said to Reuters has any bearing on what they feel about the bank. They say they're

very positive about this banks transformation plans, they don't think it needs additional capital. But look at the share prices of Credit Suisse and

other European banks.

I mean, right now, investors are not clearly calm about the outlook for these banks. And what all of this means. We are looking at banks like

SocGen and BNP Paribas down 10 and 8 percent respectively, abroad sell off that have been sweeping through Europe and have now bled into the U.S.

session as well, Becky.

ANDERSON: And it has it really has. I mean, the DOW is down for some 500 points, the other two markets that we watched the S&P and the sort of tech

laden, NASDAQ also lower. Anna there is a sort of micro story which is you know, what's going on in these markets. And then there's a macro story

which is all of had inflation and interest rates aren't it?


At the moment and we have seen statistics showing that U.S. inflation, at least, is slowing yet we were not seeing investors reacting positively to

that when we would expect them to. So let's just talk about why that is? What the macroeconomic picture is, as far as you assess it, and what might

happen next?

STEWART: Well, I think inflation cooling yesterday in the U.S. the data points we got out then was good news for the markets. And we did see some

bounce back for U.S. equities. But clearly the issues over the banking sector and what the broader interest rate environment and the many months

of interest rate raises.

There have been means in terms of those stocks and how much they're worth. That will bleed through no matter what the current data says. Whether or

not that means that there'll be a paring back of interest rates coming forwards.

That will be interesting. But this is a global issue as well. It's not just the U.S., you know, we've got the ECB reporting tomorrow and their rate

rise decision is expected they'll still raise rates by half a percent, even though the interest rate issue here is the key is at the heart of why

people are reassessing what bank stocks are worth?

But I want to show you some of the U.S. regional banks, which did have a bit of a bounce back yesterday, but they are seriously under pressure

today. We are seeing if I can get them up First Republic bank down 17 percent.

Although Western Alliance, a few others may be bouncing back at this stage. So I think this is a story we're going to have to watch through the day.

This is all about investor jitters on banking right now.

ANDERSON: Yes, absolutely. There have to be some lessons learned from that SVB and Signature Bank collapse. Those lessons are potentially about just

how the banks manage themselves and their books. But obviously, the macroeconomic picture is it a confusing one, I think at present as well.

You're right. Let's just keep an eye on it. Thank you.

Israeli Prime Minister Benjamin Netanyahu cutting his trip short to Germany by one day, no official reason given. But his departure for Berlin was

delayed as Mr. Netanyahu met with Israel's Defense Minister for what was described at least as a security briefing meanwhile, anger rising over the

Israeli government's push to overhaul the country's judiciary.

Protesters once again blocking the roads to the airport ahead of what was supposed to be Mr. Netanyahu's departure today. CNN's Hadas Gold joining me

now from Jerusalem let's starts with that defense briefing. What do we know at this point?

HADAS GOLD, CNN JERUSALEM CORRESPONDENT: Yes, so the Prime Minister was supposed to take off originally for Berlin midday. And as far as I know,

last time I checked, I believe he's still actually in the country and has not yet departed for this trip to Germany, which, as you noted, has already

been cut short, he was supposed to return on Friday.

Now he's returning on Thursday. And what we were told was that he was holding a security briefing with the Defense Minister. What we do know,

though, and there are some reports that this security briefing may be related to what was a rather concerning explosion.

Essentially, that happened on Monday on a road north of the West Bank, not far from the border with West Bank on the Israeli side, where a young man

was injured when it appears an explosive device went off on the road.

Now, there's been a gag order on reporting specifically about the incident. And so there are some reports that it is the security situation is

connected to that. There was also another explosive device that went off on a bus near a settlement not long ago. And then of course, there was that

bombing in November in Jerusalem twin bombings, actually, that killed two people.

So there is a lot of concern that the already incredibly violent cycle we've been reporting on for so many months for more than a year now is

reaching potentially a new, very deadly, very concerning phase.

But at the same time, because it seems as though here, there has to be drama in every single arena at all times. There are also reports at the

exact same time parallel reports, the Netanyahu potentially may also be in consultation right now about a compromise over these judicial reforms.

Now, these are very initial reports in the Israeli media. We've been reporting on this judicial overhaul for some time that at its core would

essentially allow the Israeli Parliament to have power over the Supreme Court overturning those decisions.

We actually heard from a member of Netanyahu's Likud Party yesterday on CNN on Richards Quest's program, saying that he believed there would be a

compromise soon that the way the current reforms that are being set out, they've already passed some of their first votes would not be the final

version that would actually be passed.

There is the potential that there is some sort of negotiations going on as we speak. This is something the Israeli President Isaac Herzog has been

working on relentlessly trying to get all parties to come together sit around the table.

And at least come to some agreement on some sort of set of reforms that at least satisfy the people who want the reforms, but would also be acceptable

to the opponents of the reforms as they are currently written.

But the protesters are still coming out in the streets today they were out on the streets around the airport ahead of Benjamin Netanyahu's departure

and they plan an even bigger day of protest tomorrow where they say they will once again be blocking highways and other roads and other bridges

across Israel, Becky.


ANDERSON: Yes. And you elude to Isaac Herzog's efforts in all of this the President of Israel. And he has been quite vocal about his concerns about

this being ultimately a threat to Israel's democracy. Efforts being made, what any sort of climb down might look like, remains to be seen the right

religious wing of that government very much in charge of this file at present. Thank you.

Iran's top security official will be in the UAE on Thursday. Ali Shamkhani's visit is seen as more evidence that Iran is making strides in

developing closer relations with other Gulf States. His visit comes of course as Saudi Arabia says it's looking for more investment opportunities

in Iran. And a week after the coming together of Saudi and Iran in a deal brokered by China.

Well, you're watching "Connect the World" live from Abu Dhabi. Coming up, I want to get you to Eastern Africa where a record setting storm is left mud

and floods, where villages should be that is up after this.


ANDERSON: Pakistan is on edge today after clashes between supporters of the Former Prime Minister Imran Khan and police outside his home in Lahore. Two

sides exchanging tear gas and rocks close to 70 people were injured.

Police were on the scene to arrest Mr. Khan for failing to turn up for a court appearance. That operation to detain him is on pause for a day so

that a high profile cricket match can proceed in the Lahore.

All this comes months after a failed assassination attempts on Khan. The mastermind of which is still unknown. Well, expanding this picture of

Pakistan even wider we see a country battling a severe cost of living crisis and still struggling to recover from torrential flooding last year.

A much needed review of an IMF program has been consistently delayed and militancy is on the rise with frequent attacks on security officials.

Opposition Leader Khan is calling for regional elections to go ahead in April the 30th claiming that the sitting government has failed the people

of Pakistan. Well, he told CNN about how he thinks the attempt to arrest him is a way to keep him from taking part in those elections this year.



IMRAN KHAN, FORMER PAKISTANI PRIME MINISTER: I said no I'm not are at all confident because when the Supreme Court announced the date of 30th of

April, the government since then has been making every excuse not to hold the elections by saying we don't have funds, the economic situation, the

security situation.

And now, my worry is that my arrest, which is obviously is already triggered off protests. And if any while violence happens, then they will

use that as a pretext again, not to get into the elections easier.

The point is, the out of the 37 by elections, since we were ousted eight or nine or eleven months ago. 37 by elections, my party has swept 30. And

because they want 30, they're petrified that despite the support of the establishment, the government machinery, they're losing heavily.

And therefore, they see you understand the motive, they do not want elections. And my worry is that I could become - I am worried they could

have some bomb blast in Pakistan as an excuse, they could do anything, because these are desperate people who are sitting ruling Pakistan.

And as you just mentioned, they have run the economy to the ground. The economy is in the worst situation ever in history so another reason why

they don't want elections, because with unprecedented inflation, growing unemployment industry grinds to a halt they are petrified of going to the



ANDERSON: Well, CNN's Sophia Saifi who conducted that interview joins us now from Islamabad. How does the government respond to those allegations?

SOPHIA SAIFI, CNN PRODUCER: Well Becky, the Information Minister was on air today across local media, and she was, you know, holding an arrest warrant

on live television. And she said that this entire scenario that has unfolded in the City of Lahore over the past 24 hours has absolutely

nothing to do with the government.

She said it has to do with the courts. It has to do with Imran Khan's cowardice, his stubbornness, and her words. And she said that because of

that, because of his ego because of his non-appearance in court which is what the courts themselves have summoned him for is the reason why all of

this is happening.

I mean, the reason why the police are there in the first place is because on Monday, Khan was supposed to make an appearance in court. He did not.

His lawyers have said that there's a threat to his life. And that's something that Khan has been going on about for quite a while.

He's been talking about like you mentioned earlier that the government is trying to incite violence. And there was a very chaotic scene in that

country. He spoke about it earlier today. Have a listen.


KHAN: And I mean, this operation, it's unheard of in Pakistan that rangers thousands of police would sort of storm us to make the arrest.


SAIFI: So these are the ranges that are supposed to speaking about a paramilitary troop, right? So we've had we've seen paramilitary troops out

in the City of Lahore that's not very usual, in a city like Lahore. It's a very wealthy, powerful city, in the heart of Pakistan.

And that kind of captures the zeitgeist of what the situation is, like across Pakistan is and how it has been over the past year? Like he said,

there are economic concerns there are militancy concerns. Pakistan's Foreign Minister has come out and said that the reason why all of this is

happening with regards again to what's unfolding in Lahore is because of Khan's ego.

And the concerns here are that the ordinary people of this country are facing a cost of living crisis than many other concerns that Pakistanis

have to deal with. And the country is shutting down every couple of days because of the political chaos that threatens to consume it, Becky

ANDERSON: Sophia, thank you! Sophia Saifi is in Islam about for you. Well, the images and stories coming out of Eastern Africa are stunning. Tropical

Cyclone, Freddy dumped so much rain on Malawi that entire villages were simply washed away. The government says at least 225 people have died and

they are still combing through the mud in search and more bodies. We get more from CNN's Larry Madowo.


LARRY MADOWO, CNN, INTERNATIONAL CORRESPONDENT (voice over): People dig through the mud in Malawi's commercial city, Blantyre, hoping to find

bodies after Cyclone Freddy tore through the houses. Over the weekend the storm hit Southern Africa for the second time in a month, killing more than

200 people.

Cyclone Freddy has damaged roads, flooded neighborhoods and triggered blackouts in the worst hit areas. The death toll keeps climbing in Southern

Malawi with suffered the most.


LAZARUS CHAKWERA, MALAWIAN PRESIDENT: It is one of those things that we look for help not just from people and partners, but even from God himself.

MADOWO (voice over): The storm has left thousands homeless across southern Africa. The Malawi department of climate change and meteorological services

says the cyclone is weakening, but will continue to cause torrential rains associated with windy conditions in parts of southern Malawi.

Aerial footage shows homes submerged in water in central Mozambique, where the storm made landfall on Saturday. Early warnings allowed some residents

to flee their homes. The rescue operations continue to find those who stayed back.

UNIDENTIFIED MALE: Plenty of houses but they are all gone plenty of bodies down there in the mud there plenty of bodies.

MADOWO (voice over): The Ministry of Health in Malawi has resorted to using beds built for COVID patients to overcome the number of people showing up

at hospitals that are almost overwhelmed. Freddy may set the record for the longest-lasting tropical cyclone in history. It has at least the same

energy as an average full North Atlantic hurricane season.

Malawi officials are on high alert for heavy flooding and wind damage over the next few days and have closed southern schools until Friday. Larry

Madowo, CNN.


ANDERSON: Let's get you up to speed on some of the other stories that are on our radar right now. And Morocco ready to join Spain and Portugal in

bidding to host the FIFA 2030 Men's World Cup. Now this joint bid initially included Ukraine as well, but its involvement is now unclear.

Competing bids from Arab nations include Arab - Saudi Arabia and Egypt. Calling it a milestone the maker of Chuck GVT is releasing an updated the

technology that powers the viral chatbot tool. Open AI is unveiling GPT for saying it can read, analyze or generate up to 25,000 words of text and

write code in all major programming languages.

Well, San Diego County in Southern California is said to be one of the country's hotspots for human trafficking. And just weeks ago a police raid

there led to dozens of arrests and the rescue of eight kids. Well, as part of CNN's "MyFreedomDay", my colleague Stephanie Elam investigates how

police district attorneys and teachers are battling the issue.


STEPHANIE ELAM, CNN CORRESPONDENT (voice over): San Diego is a Southern California border town best known for its surf spots and an elite naval

fleet. But the city now finds itself in the midst of a different type of battle.

UNIDENTIFIED MALE: How are you doing?


UNIDENTIFIED MALE: It's cold out there.



UNIDENTIFIED FEMALE: Yes. How much are you looking for?

UNIDENTIFIED MALE: I don't know, you tell me.

ELAM (voice over): In February, the San Diego Human Trafficking Task Force raided several open-air prostitution rings operating in neighborhoods

around the city. The two-day sting netted 48 suspects and offered support to 41 potential victims, including eight children. San Diego County

District Attorney Summer Stephan went to one of the areas just before the raids began.

SUMMER STEPHAN, DISTRICT ATTORNEY, SAN DIEGO COUNTY: It was around 3 p.m. and I thought, oh, I'm not going to see much. And here were a line of cars

like they're in a drive thru to get a hamburger. And these girls and women that barely had any close on, it just stopped me in my tracks.

ELAM (voice over): It turns out the problem of human trafficking in San Diego is well documented. In 2016 a Department of Justice funded study

found that in San Diego County alone, the illegal sex industry accounted for more than $800 million.

Even more concerning, the study found 90 percent of high schools researched across the county reported at least one case of sex trafficking and their

school. Patrick Henry High School is on the frontlines in this battle against modern day slavery.

TERRI CLARK, TEACHER, PATRICK HENRY HIGH SCHOOL: We need to talk about what makes someone more susceptible than you or more susceptible than the

average person to being trafficked. When you hear the term human trafficking, what comes to your mind?

ELAM (voice over): Teacher Terri Clark is educating her freshman and sophomore classes on how to spot signs of trafficking among their peers.

CLARK: We're going to look at some methods, some causes some factors and a really big pieces of this the technology. I see it on the level of like

teaching kids CPR like you are learning how to save a life.

ELAM (voice over): The students learn the ways traffickers lure in young victims and how they might coerce or threaten the student into a dangerous


UNIDENTIFIED FEMALE: We told her that breaking up was not an option. She owned her now.

AIDEN HERNANDEZ, STUDENT, PATRICK HENRY HIGH SCHOOL: What I learned today was that anyone could be traffic.


SARAH VEOMETT, STUDENT, PATRICK HENRY HIGH SCHOOL: I do think this class was valuable because it can teach like kids like me to look out for the

signs and maybe you could help, like protect our friends and prevent it from happening more.

CLARK: And that's a very, very sad and real situation for a lot of teenagers.

ELAM (voice over): The topic of human trafficking hits particularly close to home for Ms. Clark, when her niece was 16 years old, a trafficker lured

her into a car just steps from her house in Northern California.

CLARK: She was taken, she was immediately had her hair cut, her hair dyed and drugged. She was missing for nine days. She was rescued from that, but

it has forever changed who she is and change who she could become. And so, I think about, gosh, if she had had this information in high school, maybe

she would have been way more aware.

ELAM (voice over): One teacher going beyond the call of duty to make sure her students are well armed with the knowledge to protect themselves when

they walk out that door and into the real world Stephanie Elam, CNN, Southern California.


ANDERSON: Coming up more scenes of disaster I'm afraid out of southeast Turkey. This time torrential rain, I'm going to speak to an eve charity on

the ground there after this short break.


ANDERSON: Welcome back, you're watching "Connect the World" with me Becky Anderson. The time here in the UAE is half past seven. Your headlines this

hour Pakistani police are standing down in their efforts to arrest the former Prime Minister Imran Khan.

Khan showed off some of the tear gas and casings found on his property from the police action. That court ordered police to pull back after hundreds of

Khan Supporters clashed with them outside his residence. The White House says U.S. Air Force drone that it was intercepted and hit a Russian fighter

jet over the Black Sea may never be recovered, but Russia says it will try to retrieve it.

U.S. European command says the Russian jet intentionally dumped fuel on the unmanned drone seen here and hit its propeller on Tuesday forcing it to be

brought down. Russia insists there were no weapons used and no physical contact.

Well in Moscow Russian President Vladimir Putin is holding talks with his Syrian counterpart and Ally President Bashar Al Assad. The Kremlin says co-

operation on trade and economic issues and the situation inside Syria - agenda is to be - backed Assad and Syria's civil war that has killed nearly

half a million people.


Well, South-east Turkey is now dealing with catastrophic flooding barely a month after the earthquake disaster there. At least 10 people were killed

across two provinces the area hard hits by last month's earthquake one of the victims today was actually in a temporary housing unit that filled with


Well, 300 search and rescue workers have now been deployed. And of course, the misery brought on by that earthquake on February the sixth was not

limited to Turkey. Take a look at this number behind me now. Across the border in Syria, The World Food Programme says that 12 million people are

now food insecure that is more than half of the country's entire population.

Well, these numbers are so important. I've got two guests with me who can give us the view on the ground and put some real sort of substance around

those numbers from Homs. I'm joined by serious Country Director for The World Food Programme, Kenn Crossley.

And from Gaziantep Turkey today I've got Rory Stewart, the President of Give Directly, a charity, which works to get cash directly into the hands

of those who need it most. It's really good to have you both. Thank you. Rory, you are in certainly a part of Turkey that has been hit by flooding

you in Gaziantep, what's the situation there?

RORY STEWART, PRESIDENT, GIVE DIRECTLY: As you know, it is a devastating tragedy. I was in - today, which was one of the epicenters the earthquake.

And one of the things that are so striking is that many of the communities that we've been talking to as Syrian communities who were hit first by war,

fled across the border and then have gone through the devastating horror of this earthquake which killed over 40,000 people.

It's almost impossible to imagine, I was talking to a grandfather who staggered out of his house and to two feet of snow, found the building

which his son was in collapsed and was able to save a four-year-old grandchild with his son dead and his, his daughter in law trapped.

I mean, the stories are appalling. And we're now five weeks in these communities are in terrible, terrible trouble trying to get themselves back

on their feet. And as you say they're now when are being hit by very, very heavy rainfall as well, which is leading to flooding.

ANDERSON: Yes, and of course, aftershocks just 24 hours ago 4.6 magnitude aftershock not very far away, Rory from where you are in Kahramanmaras. We

were there on the scene within the first sort of 18 hours and on the ground for about 70 hours.

And what you are talking about now a month in was what we were talking about then. And you continue to get these stories, these stories of utter

devastation to lives and livelihoods. Kenn, I know you are further away, but from an aid perspective, how worried are you about the scenes now out

of southeast Turkey sort of piling, you know catastrophe on to catastrophe at this point?

KENN CROSSLEY, HEAD OF OPERATIONS IN SYRIA, WORLD FOOR PROGRAMME: No, we're extremely worried for exactly the same reasons. As we've had so much

conflict in this country, we've had people displaced in the millions within the country, millions more going to Turkey and elsewhere. So, there's

already a deep-seated crisis, a hunger crisis. And then the earthquake came.

It just piled more on tomorrow. I was in a shelter in a mosque, in fact, floor just covered by beds; families huddled together, eating a hot meal

that we were providing nourishing food, chicken, that sort of thing. The image that did stand out though Becky was the families, a few of them


And this was the big deal, a meal, which was designed for four or five people being shared by about 10 or 15 people, its people sharing with

people, which is in fact heart-warming. But it also just really underscores the degree of focus attention we need to give to the people today here in


ANDERSON: Yes, and you're in Homs in Syria. We haven't had an awful lot of reporting sadly out of northern Syria. So just tell me what is the story?

You've just talked about that one family and that one shelter that WFP are providing food for, just give us a widest sense what have you seen since

you've been on the ground?

CROSSLEY: So, a wider sense, I was also up north I was being then going in - Latakia, the coastal areas as well down here to Homs. And what we are

seeing is there are still people huddled in shelters, there is still a fear, there is still a trauma, there's still a shock. But there's also a

slow and steady return back to communities where people came from.

But sadly, back to damaged buildings, destroyed buildings with nothing to return back to and so therefore also people moving to the countryside. So,

it is a time of shelter really urgently required food really urgently required and above all the sort of shock on top of the shock. So, people

are looking for a new livelihood a new home, they just want to get back up standing on their feet.


ANDERSON: And they will need assistance, how hopeful are you that they will get it?

CROSSLEY: Well, I'm cautiously optimistic that the world is continuing to come together in the immediate needs of the immediate people in the

shelters in the aftermath of the earthquake. WFP, we were also already serving five and a half million people in all of Syria, 1.4 million in

northwest Syria. And that's where I'm more worried, is that there's so much attention to the immediacy of shock.

But these do have long standing needs. On the upside here in Homs, just today I was in a field, with farmers with irrigation, these farmers

actually had come together, figuring out how to share water, they were talking about now with irrigation being able to grow one two crops a year.

So, there is possibility for people hit by crisis to actually recover. And so the worry is that we won't give them the help they need to get back on

their feet, even when they know they can.

ANDERSON: Yes, you're making a really good point, let me bring you back in Rory, because your charity Give Directly is focused on providing aid to

serious refugees in Turkey, as you've explained. So, I just want you to sort of coming off the back of what we've just heard from Kenn. And explain

how much support these refugees are getting from elsewhere at this point. What's your assessment of needs and access to help?

STEWART: So, I think one of - there is so much more assistance that needs to be provided. And Becky, one of the things that's there, and what Kenn is

saying is that we need to be much more confident, I'm afraid in giving people cash and letting them address their own needs, because their needs

are so varied house to house, often we waste a lot of money, shipping, tents or food.

And then we're delivering them to people who may have other needs, they may have pressing medical needs, they may as Kenn say, said, need to invest in

a small business or getting their farm back off the ground. And by giving them cash support, you actually trust them; you're giving them the dignity

and agency to know what they really need.

And that can change house to house, community to community. And one of the big, big revolutions that we're trying to lead through Give Directly, which

is about trusting people giving cash grants, is to get away from the idea that somehow, from a distance, we can decide to give people things in kind,

which is often very, very inefficient. And to trust cash much more as a way of addressing needs, which go all the way from businesses to food, health

and education.

ANDERSON: And this is really important because the WFP has been behind, or certainly part of moves through agencies that I've spoken to before. And

I'm just I'm just thinking of Yemen as an example of the sort of use of digital cash, cash through cards, Kenn, that really speak to exactly what

Rory has just been describing?

CROSSLEY: Very much. So, WFP is a digital cash, we use cash and envelopes, we use any kind of cash to give people the purchasing power we need exactly

for the reasons I've already described. Here in Syria alone, we're reaching nearly 300,000 people with the cash.

The other magnifying impact that we have that I was just today actually in a retail shop, where some of the WFP beneficiaries go to spend the

purchasing power we give them and the businessman who was talking about the jobs that he created his own ability to expand his business.

So, there's also a market stimulus, there's a positive impact not only on the households who are dignified to spend their cash, but also on the

shops, the businesses, the markets where they spend, which is part of what's needed to get back early recovery after these devastating years of


ANDERSON: One of the messages that must come out of the time that we spent with both of you tonight is that we are a month into this latest crisis.

And you've both pointed out this is just crisis on top of crisis as it were certainly in Syria, people in the north of the country have been suffering

now for 10 years.

But this is about a window now to help people sort of re-establish their lives as the story sort of drops at times off the news headlines out of the

news radar out the headlines. You know, this is the time that's so important, isn't it to ensure that people get the sort of help Rory that

they need?

STEWART: Thank you. That's exactly right. And this is going to become more and more relevant as we move into a world with more extreme climate change

because this isn't just about providing the immediate lifesaving support. It's about giving communities the resilience to be able to rebuild their

lives to rebuild their small businesses, their farms to get the incomes in and the future. And this is becoming relevant.


You will have been reporting on the floods in Mozambique and Malawi that are happening at the moment, this will be true for the drought in the Horn

of Africa.

One of the things that we're trying to do through Give Directly through the use of mobile money, and with partners such as WFP is to convince people

that we need a much more efficient model for moving people away from the immediate humanitarian crisis to rebuilding their lives and getting back on

their feet. And that cash is at the center of this, we need to lead a cash revolution.

ANDERSON: It's fantastic having you both on. Thank you very much indeed, for joining us today. And on behalf of the viewers for the work that you're

doing, keep it up. We need people like you, thank you.

CROSSLEY: Thank you very much.

STEWART: Thank you.

ANDERSON: You're watching "Connect the World". Still ahead we'll bring you more on Russia and the U.S. trading accusations today after the downing of

a U.S. drone over the Black Sea. The strong rebuke directed at Russia from the U.S. Defense Secretary is up next.


ANDERSON: Russia's president hosting his Syrian counterparts in Moscow this hour is Bashar Al Assad's first visit outside the Middle East since the

devastating earthquake that hit Syria and Turkey last month. His meeting with Vladimir Putin excuse me comes as Moscow tries to boost its diplomatic

influence submit increasing isolation from the west.

The Kremlin says one main goal is to advance efforts to restore serious diplomatic relations with Turkey severed after the start of the Syrian

civil war. Deputy Foreign Ministers from those three countries and Iran are also in Moscow this week. Well, these meetings coming as the U.S. and

Russia both level accusations that each other over the downing of the U.S. drone.

The Pentagon says Russian pilots forced it down in the Black Sea over international waters. Russia denies responsibility saying that the drone

violated airspace used for its so-called special military operation U.S. Defense Secretary blasting Russia's actions, take listen to this.


LLOYD AUSTIN, U.S. DEFENSE SECRETARY: This hazardous episode is a part of a pattern of aggressive and risky and unsafe actions by Russian pilots in

international airspace. So, make no mistake, the United States will continue to fly and to operate wherever international law allows.


ANDERSON: Well David McKenzie is on the ground in Kyiv. Oren Liebermann is at the Pentagon. David, let me start with you. This was a U.S military

surveillance drone crashing into the Black Sea Tuesday after and I quote here "Encounter with Russian jets". What do we actually know about what

happened here?


DAVID MCKENZIE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, Becky, obviously as you would expect getting different version of events from the

Russian authorities and from the U.S. According to the U.S. that was a Russian military aircraft that down the surveillance drone over the Black

Sea they said there was initially fuel dumped on it and then possibly a crash into directly.

This is something that the Russians have repeatedly denied Dmitry Peskov, the Kremlin spokesperson today Becky saying that the relationships between

the U.S. and Russia are at their lowest point. And that's obviously coming off a very low base.

Just a short time ago, the Secretary of the Russian national security council saying that the Russians will try to retrieve some of that wreckage

from the Black Sea unclear whether they'll be successful in that and what, if anything, they could glean from retrieving that wreckage.

But it does speak to the overall danger of an escalation between Russia and the U.S. which for since before the start of this conflict has been heavily

backing, of course, Ukraine. The Ukrainian officials have been relatively quiet on this one. Important official, though did say that they say the

signals that the Russians are trying to expand this conflict to involve others, I think that the Russians would certainly dispute that, and they

have multiple times.

ANDERSON: Oren, let's just have a look at what the U.S. has said about all of this.

OREN LIEBERMANN, CNN PENTAGON CORRESPONDENT: So as this played out, the U.S. said this was an unsafe unprofessional and even reckless interception

by the Russians by two Russian military aircraft. The U.S. has gone to great lengths to point out that this happened in international airspace

over international waters.

And the U.S. has the right to operate there, whether that's a surveillance aircraft of fighter aircraft, a cargo aircraft, a tanker, or whatever other

kinds of aircraft. Crucially, as do the Russians, there have been interceptions or interactions between Russian and U.S. aircraft in the past

even several in recent weeks, according to the National Security Council, between Russian and U.S. aircraft. So that part is not uncommon.

What are uncommon are how this transpired and the manner in which the Russians intercepted the aircraft. Crucially, the U.S. isn't backing down

here. And they say that, if the Russian goal was to try to deter the U.S. from operating in international airspace over the Black Sea, then that has

failed. And the U.S. will continue to operate its aircraft, its drones, its spy drones over the Black Sea as it sees fit, Becky.

ANDERSON: Just getting news that the Russian ambassador to Washington who was called in today has actually reportedly chastised those that he saw,

suggesting that Washington must not violate the waters, he says no longer will Russia allow anybody to violate our waters. This has been reported by

the TASS news agency. What do you make of that Oren?

LIEBERMANN: Well, the Russians claimed there was some sort of special military operation airspace notification that was put out internationally.

There is no such note and there is no such ability in international airspace under international airspace norms that just claim airspace as

your own.

International airspace goes over a rather territorial airspace is over territorial waters, 12 nautical miles away from your territorial sovereign

lands and that's the extent of the airspace you can claim.

Yes, there are air defense identification zones, you can ask aircraft coming near you to identify. But to simply claim this as your airspace

because you say so doesn't hold up and that Russian claim simply doesn't work, although they will as we've seen continued to make that claim.

ANDERSON: Oren Liebermann is at the Pentagon, David; you're in Kyiv, thank you for joining us. We're going to take a very short break at this point,

back after this.



ANDERSON: The Wizarding World of Harry Potter is heading to Japan this summer. Warner Brothers launching a new studio tour in Tokyo showcasing the

massively popular film and book franchise, a company which of course shares the same parent company as CNN is looking to attract more fans across Asia

and Pacific with its first exhibition outside the UK. CNN's Marc Stewart had a preview of the behind the scenes that movie magic that fans can

expect to see.


MARC STEWART, CNN CORRESPONDENT (voice over): Harry Potter's magic, is transporting to Tokyo. It's on this massive lot where fans will see some of

the series' most iconic sets like the Great Hall at Hogwarts and the Forbidden Forest. It's part of the new Warner Brothers studio soon to open

in Japan.

STEWART (on camera): What goes through your mind when you see the train? You see the sets you see the costumes.

JEFF NAGLER, PRESIDENT, WORLDWIDE STUDIO OPERATIONS, WARNER BROS: Wow, I can't believe it. And when I come here, I have to remember that I'm here on

a business trip. Not to be looking at this as if I'm just a fan.

STEWART (voice over): Jeff Nagler is President of Warner Brothers worldwide studio operations.

STEWART (on camera): Why Japan?

NAGLER: I think that was one of the easiest decisions for us actually, because of the whole global interest in Harry Potter after the United

States and after the UK, Japan is the third best area for Harry Potter fandom.

STEWART (voice over): The Tokyo studio is modeled after the one in London and will be larger. A big draw the Hogwarts Express train that was made in

London transported by land and by sea to its new home here in Japan.

STEWART (on camera): It's not just about the sets; it's about the accessories, the costumes, the props, like the ones you've seen in the


UNIDENTIFIED FEMALE: We normally don't get to see what goes on behind the scenes in movies. But here we get to see how films get made. For example,

it shows us how the people who work in the costume props, movies those departments all work as a team.

STEWART (voice over): A glimpse into Movie Magic far from Harry Potter's brooks in the UK.

STEWART (on camera): Do you see Asia as a growth market for experiences like this?

NAGLER: Absolutely. We do look at China and we look at Japan, we look at South Korea. We have a big fan base in Australia and New Zealand as well.

All of that it's not Asia. It's the whole Asia Pacific region.

STEWART (voice over): Stories of imagination appealing to audiences around the world. Marc Stewart, CNN, Tokyo.


ANDERSON: Well, here's something you don't see every day, a plane landing on the world's shortest runway over 200 meters in the air. Red Bull Air

racing champion Luke Czepiela landed his plane on this, the 27 meter wide helipad of Dubai's Burj Al Arab on Tuesday. And this adrenaline practice

stunt went down in the early hours and saw the Daredevil pile stopped seven meters short of what is a 56 storey drop.


This of course requires a ton of planning to get it right two years and 650 test landings on ground level to be exactly third try, the bull. And you

heard that right. The pilot did these two other times before the final attempt. Let me tell you I've been up there, it is really not a very big


And what better way to celebrate them by doing donuts 270 meters a year. And you might be wondering how they brought the plane back down the answer,

a nosedive straight off the ledge to bring it all homes. That's it for us. From us on "Connect the World" from the team working with me here in Abu

Dhabi, it's a very good evening. More on CNN, of course up next.