Return to Transcripts main page
Connect the World
Ukrainian President Says Putin's Moves Attempt to Justify Further Actions against Ukraine; White House Announces Additional Sanctions on Russia Soon; Interview with Lithuania's Prime Minister Ingrida Simonyte, Decrying Putin's Aggressive Moves toward Ukraine; Queen Elizabeth II Cancels Tuesday's Virtual Events due to COVID-19; Putin Orders Troops into Ukraine; World Stock Markets and Oil React to Russia-Ukraine Crisis; U.S. President Joe Biden to Speak on Russia and Ukraine 2:00 PM ET; Canadian Lawmakers Extend Emergencies Act after Trucker Blockades. Aired 10-10:40a ET
Aired February 22, 2022 - 10:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[10:00:00]
BECKY ANDERSON, CNN HOST (voice-over): Germany halts a key pipeline project with Russia. The strongest response yet to Vladimir Putin's
military action in Eastern Ukraine.
"No low is too low, no lies too blatant," withering criticism of the Russian president from Lithuania's prime minister and that's the least of
it. I'll speak to her live this hour.
And --
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE (through translator): Don't know what will happen. No one knows it. The situation is difficult for sure. But if you ask what to
do if it gets worse, then my answer is I don't know.
ANDERSON (voice-over): Well, as the West considers its next moves on the ground, a real sense of fear of the unknown.
(END VIDEO CLIP)
(MUSIC PLAYING)
ANDERSON: I'm Becky Anderson. It is 7:00 pm here in Abu Dhabi. Hello and welcome to CONNECT THE WORLD from our Middle East broadcasting hub.
This hour, the precipice of war: Russian forces could enter separatist regions of Eastern Ukraine anytime now, after Vladimir Putin recognized the
sovereignty of two self-declared republics and ordered troops there.
The Kremlin declaring the troops are on a peacekeeping mission; the U.S. calling that nonsense and accusing Mr. Putin of engineering a pretext for
war.
The U.K. has already announced some sanctions and Germany is halting certification of Russia's Nord Stream 2 pipeline, with more punitive
actions likely to follow as the West hits back.
And Ukraine remaining defiant, its president describing Russia's move to recognize certain districts in Donetsk and Luhansk as an attempt to create
a legal basis for further actions against the country but also insisting a full-scale war won't happen. Have a listen.
(BEGIN VIDEO CLIP)
VOLODYMYR ZELENSKY, UKRAINIAN PRESIDENT (through translator): We understand that there will be no war. There will not be an all-out war
against Ukraine and there will not be an escalation, a broad escalation from Russia. If there is, we will put Ukraine on a war footing.
(END VIDEO CLIP)
ANDERSON: What happens next?
Nick Paton Walsh is in Lviv, in Western Ukraine. Scott McLean is in Paris. And Jeremy Diamond is at the White House.
Nick, from the Ukrainian perspective, what is the next move here?
NICK PATON WALSH, CNN INTERNATIONAL SECURITY EDITOR: Well, the president was clear that they do not expect an all-out invasion from Russia.
And judging by what we saw yesterday, very carefully choreographed, the dressing-down of Putin by his -- sorry; dressing down of Putin's inner
circle of security officials by the president, followed by this nearly hour-long rant.
And then the decision to recognize these two breakaway areas and then also send in troops as, quote, what they refer to as "peacekeepers," that is a
lesser option, certainly.
And the question now is whether or not this is a prelude to some wider engagement by the Russian military in Ukraine.
Remember, they have been here for eight years, be in no doubt about that. And we have so far not had clear indicators that Russian -- fresh Russian
troops have crossed in from Russia into those breakaway areas, since the declaration, recognizing their independence from Moscow was issued last
night.
That's a key factor here. The White House, their spokespeople have been calling this an invasion. And I've spoken to a Western official, who says
the combat indicators continue to get worse.
So at this stage, I think the rhetoric from most Western officials is we're not out of the woods at all and this may be the beginning of something
larger.
The question for Ukraine, of course, is how that actually plays out. Now they face possibly changes on the ground here. There is confusion still as
to exactly what territory has been recognized by Moscow.
The separatist republics themselves, that Donetsk and Luhansk People's Republics, make up about a third of the two regions of Donetsk and Luhansk
and they perceive themselves as the potential rightful custodians of all of those areas.
It may be there is a later push to suggest Moscow is recognizing them having control of all of those areas. They don't have that at the moment.
[10:00:00]
WALSH: So if we do see a substantial Russian military presence now move in, are they there to simply continue the stalemate, the status quo and
maybe exchange shell fire with the Ukrainian military?
As we have seen happening over the past years, that will be a very perilous place for everyone in terms of preventing further conflict.
Or are they there to pursue a wider goal?
We don't know. But I have to say the sanctions we have seen today, particularly Germany delaying the certification of Nord Stream 2, may be
something that Moscow is not expecting. That may feed into the calculus, to make them, frankly, feeling there is nothing worse that can happen to them.
Or it may slow them down; unclear.
ANDERSON: Nick Paton Walsh is in Lviv.
Scott is in Paris for you folks.
Scott, we have seen the Germans and the U.K. out of the gate with a response. Nick just referring there to the halting of that -- what has been
a controversial pipeline, the Nord Stream 2 pipeline, between Russia and Germany. Just explain what we are seeing at this point and what the
perspective is in Europe.
What happens next?
SCOTT MCLEAN, CNN CORRESPONDENT: Well, we should be hearing more from the E.U.'s top diplomat very soon, Josep Borrell. He's convening this
extraordinary meeting of European foreign ministers, who are gathering here in Paris to discuss proposals for sanctions against Russia.
Right now, that proposal includes sanctions against some 27 people and entities; talking about politicians, military members and banks as well.
This new proposal would essentially mirror the types of sanctions that we saw back in 2014, when Russia annexed Crimea.
This is not the full package of sanctions that the E.U. was talking about and had approved already, gotten consensus amongst the foreign ministers
for before, the kind of sanctions that would have really separated Russia out from the global financial markets.
But as you mentioned, what we have seen is Germany announcing this pause in the Nord Stream 2 pipeline. To give you a sense of how big of a deal this
is, that pipeline would have enough gas in it to provide 50 percent of Germany's total annual consumption and would provide billions of dollars to
the Russian company that owns it.
It is already built but doesn't have gas flowing through it at this moment.
So why did Europe not go further so far?
There is a couple of reasons. First, remember, that they have to get consensus. They have to have unanimity among the members. And some are more
sympathetic to Russia than others.
You have Baltic states like Latvia, Lithuania, Estonia; they would like to throw the book at the Russians. Then you have countries like Hungary, which
perhaps don't want to go quite as far.
The second reason is that it is a matter of keeping some powder dry as well, if there is further aggression on the part of the Russians.
It also seems, though, Becky, that there is some dispute, some perhaps disagreements on how to interpret this latest act by Russia. Of course,
they are sending troops into those parts of Eastern Ukraine.
But is that an invasion?
I just want you to listen to the differences in characterizations between Josep Borrell and Boris Johnson. Listen.
(BEGIN VIDEO CLIP)
JOSEP BORRELL, E.U. HIGH REPRESENTATIVE FOR FOREIGN AFFAIRS & SECURITY POLICY: Well, the Russian troops has entered in Donbas. We consider Donbas
part of Ukraine. So certainly Russian troops entered into the Donbas -- Ukrainian, I wouldn't say that a fully fledged invasion but Russian troops
are on Ukrainian soil.
BORIS JOHNSON, U.K. PRIME MINISTER: The house should be in no doubt that the deployment of these forces in sovereign Ukrainian territory amounts to
a renewed invasion of that country.
(END VIDEO CLIP)
MCLEAN: And, really quickly, the U.K. has also announced sanctions against five banks and three individuals. It doesn't sound like much. But the prime
minister says this is just the first barrage, the first tranche of sanctions that they are willing to put forward, if Russia goes further than
they have already.
ANDERSON: And a first tranche of sanctions -- thank you, Scott -- Jeremy, by the White House, Monday's sanctions, though, characterized as cautious
at best. Just describe how the U.S. has responded to what we have seen over the past, what, 24 hours now and what we might expect next.
JEREMY DIAMOND, CNN WHITE HOUSE CORRESPONDENT: What we have seen so far and what we saw yesterday afternoon, when President Biden signed that
initial executive order, sanctioning those two breakaway regions, which President Putin recognized yesterday as independent states, those sanctions
were fairly limited.
It limited trade and investments from Americans into those two breakaway regions of Ukraine.
[10:10:00]
DIAMOND: Now what we're expecting to see today, though, is going to be much more significant, much more severe, according to senior administration
officials here.
We heard the deputy, principal deputy national security adviser, Jon Finer, officially characterize this as an invasion, saying that an invasion is
underway. CNN has not been able to independently verify there are indeed new Russian troops in those breakaway regions.
But I want you to listen to what Finer said this morning.
(BEGIN VIDEO CLIP)
JON FINER, U.S. DEPUTY NATIONAL SECURITY ADVISOR: We think this is, yes, the beginning of an invasion, Russia's latest invasion into Ukraine.
And you are already seeing the beginning of our response that we have said will be swift and severe. I think the latest is important here. An invasion
is an invasion and that is what is underway. But Russia has been invading Ukraine since 2014.
(END VIDEO CLIP)
DIAMOND: And now we do know that those sanctions, according to Finer, will be swift, they will be severe and significant. Those are some of the words
that he used to characterize them.
But they won't necessarily be the full range of sanctions that President Biden and other top administration officials have been talking about in
response to a full-fledged invasion of Ukraine.
Instead, Finer and other officials making clear that the U.S. wants to do this progressively. There are going to be -- he said they always
envisioned, quote, "waves of sanctions" that would roll out on to Russia as it continues to carry out these military actions in Ukraine.
So what could they be?
We know there has been talk of banking sanctions, export controls; we'll see whether one of those at least is used today. But expect much more as
Russia, if Russia, I guess, continues or pushes forward further with its military actions -- Becky.
ANDERSON: Let's bring in Fred. He's been keeping an eye on what Russian action is on the ground.
Thank you, Scott.
What are you seeing at present?
FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, Becky what we're seeing here -- we're quite close to the border with Donbas, with
those two separatist republics that were just recognized by Vladimir Putin, quite close to the Ukrainian border.
We do see a very large Russian military presence on the ground here. What we saw today is Russian heavily armored vehicles, pretty much out in the
open, in many of the places that we went to.
And you're talking about things like self-propelled Howitzers, infantry fighting vehicles, some heavy battle tanks as well, that are very close to
the border with Ukraine, the border of those separatist republics that have now been recognized by the Russian Federation.
That is what the U.S. has said has gotten it very concerned, the fact that a lot of those forces seem to have left some of the larger bases that they
had been on and have sort of swarmed out toward the border area.
And the U.S. believes that another invasion of Ukrainian territory could indeed be in the works. We just heard from Scott there, the assessment of
the United Kingdom. The Russians, of course, for their part, have been saying they have no intention of further invading Ukraine.
And they also said that they have no intention of placing troops inside of those two separatist republics they have just recognized. Now it is
impossible to verify whether or not that is really the case, whether or not they have actually done that.
But from being here on this side of the border, you do see there is a very large military presence on the ground here and almost every corner that you
go past. Also, Becky, we have been able to speak to some of the people who left these separatist republics over the past couple of days, saying that
there had been shelling going on there.
All the people we spoke to are very much in favor of Vladimir Putin's decision. A lot of them very much see themselves very much as Russian and
pro-Russian. And some even saying they were thankful for Vladimir Putin's decision to recognize these two republics because they believe that, for
them, a more calm time could now ensue.
But you do really feel, being here in this area, the tension that is here on the part of the authorities, the tension on the part of the people who
are on the ground here as well, as, of course, these very large, you know, global scale events are unfolding -- Becky.
ANDERSON: Fred, Scott, Jeremy and Nick, to all of you, thank you very much indeed.
For the viewers, you have covered the bases as you are wont to do. Thank you.
Ukraine's regional neighbors are obviously very concerned about Russian aggression in the wake of Putin's move to recognize those two breakaway
regions. Lithuania's prime minister took to Twitter to express her disgust.
Ingrida Simonyte wrote, "Putin just put Kafka and Orwell to shame. No limits to dictator's imagination, no lows too low, no lies too blatant, no
red lines too red to cross. What we witnessed tonight might seem surreal for democratic world but the way we respond will define us for generations
to come."
[10:15:00]
ANDERSON: And Ingrida Simonyte, Lithuania's prime minister, joins us now live from her nation's capital, Vilnius.
You did not mince your words. Your criticism was withering.
Were you shocked or even surprised by President Putin's actions announced Monday night?
INGRIDA SIMONYTE, LITHUANIAN PRIME MINISTER: Well, not really. You know, having the privilege to know Russian language well, because I used to live
also under Soviet occupation, where I was forced to have (ph) weekly Russian classes.
So that gave me a privilege to understand the glimpses in the language quite well. I must say that the speech, the monologue was extremely
aggressive. And maybe in translation, that might look like a misunderstanding, you know, at some point.
But when we are close to Russia -- and actually we have been one of the countries that we have been pointing to, the fact that there is a real
threat that has emanated from Kremlin. And we were sort of disbelieved for quite a long time; maybe until invasion to Georgia in 2008, we were
considered to be too alert, sometimes even paranoid.
So, unfortunately now, what we see unfolding is something that has been predicted or seen by the closer neighborhood for quite some time already.
ANDERSON: So explain what you do see unfolding here?
What do you believe President Putin's intentions are next?
SIMONYTE: Well, I think this whole debate is not really about Ukraine. I mean, what he said yesterday and what you can see, he completely disregards
Ukraine. I mean, he thinks Ukraine is irrelevant. It maybe does not exist even in his view of the world.
Actually the whole debate is about agreement or push for agreement between him and Washington, United States of America, about how the power should be
shared, what are the spheres of influence.
And it is quite clear he does not hide that much and it was extremely visible yesterday, when he was speaking about the history of Soviet Russia,
then Soviet Union, then collapse of Soviet Union.
He was not hiding much, that he still wants to keep his claw on the region that used to be in the sphere of influence of Russian empire -- or Soviet
Union, for that matter.
ANDERSON: You also tweeted, in response to his announcement some 24 hours ago, "the way we respond will define us for generations to come."
So let's talk about that response.
What do you make of -- let's start with the West, Europe and the U.S.
What do you make of the response to date?
SIMONYTE: Well, I think that one of the most important achievements, that are there, is a very strong unity within the Western community about how we
treat things.
There are nearly no one who is buying into false flag operations or eating up this propaganda and misinformation that, you know, Russian
communication, Kremlin communication is so rich of.
It was not the case before. And the evaluation of the situation is very united. And it is extremely important that there is no sort of second
thought about it.
And the support for Ukraine as a sovereign country, for its territorial integrity and sovereignty, is also very clear. So I think this is very
important. Now how we react is --
(CROSSTALK)
ANDERSON: We have -- right. Two things then -- we have seen the reactions from the Germans. They have halted the Nord Stream 2 pipeline.
Is that a good decision?
Is that the right decision at this point?
And if so, why?
SIMONYTE: I think this is an unexpected move, most probably. And I don't think that Kremlin was expecting this, because there was quite a lot of
speculations about Nord Stream project.
We were critical about the project from its inception because we thought we were claiming that this will become a geopolitical tool. We have our
lessons from the past. We know what happens when the pipeline all of a sudden breaks apart and there is no repair for 15 years.
So I think this is a very timely decision of German government, although this is not within the package of sanctions. This is a sovereign decision
by German government and I very much commend German government for that.
[10:20:00]
ANDERSON: So what can we expect from the package of sanctions from Europe at this point?
SIMONYTE: First and foremost, I think there should be -- and there is a high level of coordination between European Union, United Kingdom and
United States. I think this is very important to maintain this sense of unity.
Also in setting up and speeding up the regime of sanctions. So I think the first step that was announced by prime minister Boris Johnson and by the
United States administration is about to announce its own decisions.
And European Union, the ministers of foreign affairs are now sitting in a meeting and will have a political decision this evening. It is important
that we have the same message; although, most probably, this will be just a first step in a long list of options that are there up to --
ANDERSON: Right, and we have been talking about this, this promise of progressive sanctions, which really begs the question or two questions
here. I mean, U.S. sanctions today have been characterized as very cautious at best.
Do you genuinely believe that, whatever this package of sanctions from the E.U. and what we get forthcoming from the U.S., will be enough in any way
to prevent President Putin doing whatever he wants at this point?
Is he threatened in any way by sanctions or threats of sanctions at this point?
SIMONYTE: I get your question. President Putin is from a different world than us politicians, from Western liberal democracies because we have to
stand up to the election and to the electoral process. So we have to be accountable against our citizens.
He's not. So he might sort of push as many losses onto his population as he can. But as soon as and as much as Western countries target his aides, his
servants and cronies from the schemes that brings money to the regime, I think the more he will feel this.
And this is extremely important. And I think that steps that are taken by United Kingdom officials and government is very important in this respect.
But it is also important to give a clear perspective for Ukraine, because I think that it is not the sanctions that frighten Putin most; it is the
success, potential success of Ukraine, of becoming a true European country that frightens him, because then he has very few arguments against his own
people.
ANDERSON: With that, we have to leave it there. Thank you very much indeed for taking the time to talk to us. It is an extremely important story. It
couldn't be more important to you and extremely important to our viewers. We thank you very much indeed.
For a deep dive into what is being described as Vladimir Putin's playbook, do head to cnn.com. There you'll find more analysis on the Kremlin leader's
obsession with history and Ukrainian statehood. That's cnn.com and on the CNN app.
Ahead on this show, concern grows for Queen Elizabeth, who has been diagnosed with COVID-19. The 95-year old has canceled her engagements for
today. We will be live from Windsor Castle for you after this short break.
(MUSIC PLAYING)
(COMMERCIAL BREAK)
[10:25:00]
(MUSIC PLAYING)
ANDERSON: Well, we have been keeping you up to date on Queen Elizabeth II's condition. Buckingham Palace says she is still suffering from mild
cold-like COVID symptoms and has canceled her planned virtual events for Tuesday.
It was Sunday when the palace said the queen had contracted COVID-19. A royal source tells CNN there had recently been a number of cases diagnosed
in the Windsor Castle. Max Foster joining us live outside Windsor Castle.
And what more are we learning from the palace as to how long the queen's engagements might be put on hold?
What do we know at this point?
MAX FOSTER, CNN LONDON CORRESPONDENT: Talking about her recovery but we are not seeing any improvement at the moment. She still has these cold-like
symptoms. She had them since Sunday when she was tested.
We were happy to see her today. She had some virtual meetings planned and some video calls planned and quite often the palace will then release those
videos so you can see she's well. That wasn't the case. But they're not overly concerned, doesn't seem, because they are emphasizing the fact that
she is continuing these light duties.
These are -- this is effectively paper work. And a lot of people saying you to have some sympathy for her. If she has a cold, she doesn't necessarily
want to appear in videos for the whole world to see, particularly when they're scrutinized.
But this paperwork is the sort of stuff that she has to carry out, the matters of state, signing government bills, signing official paperwork,
which a head of state has to do.
So the mechanics of state are still in progress; that's the main thing. And we're not hearing there is any deterioration. And it only has been a couple
of days since she got it. So people aren't too concerned. But they were hoping to see her today.
ANDERSON: Is she vaccinated against COVID-19, do we know?
FOSTER: There is a question. Officially, we only have been told she received the first vaccination. But if you do speak to people in the
palace, they won't deny she's had all three vaccinations but they don't want to go into all of that detail.
I think the assumption in the U.K. media reading between the lines is she has had all three vaccinations. But they don't want to reveal too much.
This is because of patient confidentiality.
They are constantly treading this line, accepting that the public needs to know about their condition of their head of state but not giving away too
much personal information at the same time.
Really, you know, looking ahead to when there are more sensitive matters, which they don't want to reveal, perhaps, they have a similar situation,
Prince Philip. They never want to describe too much detail about his illnesses but he's clearly quite ill at the end.
So we're always reading between the lines, Becky. But I think we can assume she had all three vaccinations.
ANDERSON: Max Foster is outside Windsor, thank you, Max.
After months of military drills and growing concern that Russia would invade Ukraine, President Putin ramps up the crisis, possibly, possibly
inching the region to the brink of war. Live reports from both countries are up next.
(MUSIC PLAYING)
(COMMERCIAL BREAK)
[10:30:00]
(MUSIC PLAYING)
ANDERSON: I'm Becky Anderson in Abu Dhabi. You're watching CONNECT THE WORLD. It is half past 7:00 here. We are keeping an eye on what is our top
story and continues to be so.
On the brink: Russian forces could enter separatist-held parts of Eastern Ukraine any time now.
Why?
Well, Vladimir Putin ordered troops in, just hours after recognizing the independence of those Moscow-backed regions. A Russian diplomatic official
claiming there is no talk of a deployment for now, though the White House today calling it the beginning of an invasion.
Meanwhile, some in the West are already answering the Ukrainian president's call for urgent sanctions. This is significant. The German chancellor
halting the certification process for Nord Stream 2. That is a Russia-to- Germany natural gas pipeline with major geopolitical implications.
While the U.K. has levered new sanctions on Russian banks and on oligarchs, the U.S. says it is planning to announce significant additional sanctions
in response to Mr. Putin's provocation. They say that will be in the coming hours.
Well, despite all of this, Ukraine's leader insists he doesn't think there will be a war, though President Volodymyr Zelensky is warning his people to
prepare for further Russian aggression.
During his speech less than 24 hours ago, recognizing the sovereignty of Luhansk and Donetsk, President Putin tried to rewrite history, insisting
Ukraine never had the right to exist in the first place.
An earlier news conference, it served as a prelude to that speech. He asked his deputies, in what was a highly choreographed affair, if they agreed
with his sovereignty declaration. And he wasn't taking no for an answer.
(BEGIN VIDEO CLIP)
SERGEY NARYSHKIN, DIRECTOR, RUSSIAN FOREIGN INTELLIGENCE SERVICE (through translator): I would agree that our Western partners can be given one last
chance, to offer them to force Kyiv to make peace and fulfill the Minsk agreements as soon as possible. Otherwise, we must make the decision we are
talking about today.
VLADIMIR PUTIN, PRESIDENT OF RUSSIA (through translator): What do you mean otherwise?
Do you propose to start the negotiation process?
NARYSHKIN (through translator): No, I...
PUTIN (through translator): Or recognize the sovereignty of the republics?
NARYSHKIN (through translator): I -- I --
PUTIN (through translator): Say it plainly.
NARYSHKIN (through translator): I -- I'll support the proposal on recognition.
PUTIN (through translator): You will support or you support?
Speak directly, Sergey Yevgenyevich.
NARYSHKIN (through translator): I support the proposal to --
PUTIN (through translator): Just say it, yes or no.
NARYSHKIN (through translator): So I am saying I support the proposal to admit the Donetsk and Luhansk People's Republics into the Russian
Federation.
(LAUGHTER)
PUTIN (through translator): We're not talking about it. We're not discussing it. We're talking about recognizing their independence or not.
NARYSHKIN (through translator): Yes. I support the proposal to recognize independence.
PUTIN (through translator): Good, please take a seat. Thank you.
(END VIDEO CLIP)
ANDERSON: Well, joining me now, CNN's chief international correspondent, Clarissa Ward in Ukraine's capital. Nic Robertson is in Moscow.
I want to get from both of you, your take on the performance, the -- what some have suggested -- czar-like performance and what you make of what lay
behind that.
[10:35:00]
ANDERSON: Because that was a performance for all intents and purposes, a made for TV moment, effectively.
CLARISSA WARD, CNN CHIEF INTERNATIONAL CORRESPONDENT: Absolutely, Becky. I think what the sort of subtext there was, because you heard Putin's
minister essentially saying, I support recognizing these republics as part of the Russian Federation. And Putin cut him off and said we're not talking
about that.
Putin, I think, making a point there that we're not talking about annexation at this point. We're talking about the recognition of
independence of these two republics.
But by throwing that out there or having someone mention it, you're raising the specter of possible future annexation. That's the game being played all
along here, Becky, the incremental steps that are significant violations in and of themselves but also now call into question the possibility of much
greater violations.
And that's what you're hearing here in the words of president Volodymyr Zelensky, who says there is no war. But what we're seeing is that Russia is
creating a sort of legal basis in its own mind for a further series of Russian aggressions.
What he might be talking about there is something along the lines of the scenario that you just saw being acted out there, by Putin and his
minister. Or he might be talking about actual military escalation, because these two republics, the current orders or the current front lines are
significantly less than the territory that these separatists claim.
And so the question becomes, is Russia seeking to recognize the borders as they stand or the borders as they would aspire -- as the separatists would
aspire them to be?
We haven't had a clear answer from Moscow on that. Dmitry Peskov, the Russian president's spokesperson, said he refused to be drawn categorically
on a real answer to that.
And, again, it is this ambiguity, Becky, this gray space that allows President Putin to maneuver and to use the potential of something even more
sinister or more violent as a lever of negotiation, potentially.
ANDERSON: Nic, the response by the West -- the E.U., the U.K. and the States -- so difficult. What do you make of what we have seen to date?
We're promised more -- and I'm talking about sanctions here.
What do you make of what we have seen to date and what is the perspective in Moscow?
NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: I think the perspective in Moscow, on the one hand, we heard from Dmitry Medvedev, the
former prime minister, president, now deputy chairman of the national security council, one of those arrayed before President Putin yesterday,
saying welcome to the new world, if you will, that gas prices for European Union citizens would go up.
That was his implication. You put sanctions on us, you threaten to block Nord Stream 2, there will be repercussions. We've heard noises of that from
President Putin before. But now he's putting that out there, firmly and clearly. It hasn't been announced officially that that's going to happen.
But I think that's, again, the way that Russia does business; the threat first and the reality after.
I think, to a degree, President Putin has, baked into his calculations, that these five banks in London, that have now had sanctions levied on
them, the three oligarch individuals, who have had sanctions landed on them in London -- the European Union has landed sanctions on a number of rich
Russian individuals as well -- has sort of been baked in.
These don't come across as the huge sanctions that were threatened. And I think part of Putin's calculation here -- and we're hearing this from
ministers today, the deputy foreign minister being incredibly ambiguous.
Last night, it seemed very clear that President Putin signed authorization for Russian forces to go into Luhansk and Donetsk areas as peacekeepers.
And the narrative has emerged later today of -- began with, "it's not clear," and now a sort of denial. It hasn't happened yet. They can go, if
they are needed.
So this ambiguity about even forces crossing into Ukraine, which was always the threshold for these massive sanctions, so Putin is very carefully
creating a degree of confusion here as he propagates what he appears to intend to propagate, which is a cause to rebring (sic) Ukraine back into
Russia's sphere of influence.
That was everything he laid out yesterday, that illegitimacy of the current government.
[10:40:00]
ROBERTSON: Ukraine's historical place within Russia, the coup there -- in his words -- in 2014, all of that is headed in one direction.
So I think for Putin, the sanctions it is hearing so far are not going to frighten him, they're not going to stop his current trajectory at the
moment and he is creating the ambiguity to allow him to continue in this vein.
ANDERSON: A frustrated Ukrainian president, calling on the international community on Tuesday, to place further urgent sanctions on Russia. We heard
his complaints about the fact that there hadn't been any sanctions to date, when he spoke to our colleague, Christiane Amanpour, over the weekend in
Munich.
And to a certain extent, the Ukrainian president has telegraphed almost everything that we have seen and warned Washington and the rest of the
Russian playbook for weeks now.
What is the sense in Kyiv about what happens next? WARD: Well, I think there has been a little bit of frustration, not with the U.S.' undisputable support of Ukraine but perhaps with the way the U.S.
has gone about its messaging, which I think many in the Ukrainian leadership have worried has been slightly alarmist.
They have always said that while their intelligence is quite similar to that of Washington's, the interpretation of that intelligence has been
different. They're still, as you heard Volodymyr Zelensky say today, of the view that there will not be any kind of an all-out invasion.
And as you heard, as you mentioned, when he spoke to Christiane Amanpour but also in other comments he has made as well, there is a sense of
frustration that, if you're so convinced, if you know that this is a foregone conclusion and that an invasion is imminent, why are you waiting
for it to happen before you take action?
Why aren't you being proactive in levying those sanctions, why aren't your providing more significant, heavier and more sophisticated weaponry to us?
At the same time, I think there absolutely is a sense of gratitude to the U.S. and to NATO and Western allies, for standing in lockstep with Ukraine
in this hour of need. I think that the Ukrainian leadership is going to be watching very closely to see what sanctions the U.S. announces today.
The sanctions they have announced so far are largely symbolic, because they only apply to U.S. direct dealings with Donetsk and Luhansk, which are
obviously fairly limited in scope. And they will be looking to see more draconian actions taken, probably in the line of Germany's decision to go
back on Nord Stream 2 -- Becky.
ANDERSON: Thank you, both.
Analysis and insight from our senior correspondents there.
Like Russia's troops in Eastern Ukraine, the global markets are on the move. Wall Street sank as traders returned from what was a long U.S.
holiday weekend. They have, though, recovered somewhat. Just take a look at what's been going on there.
There is a mixed bag, aren't they, at this point. The Dow, the Nasdaq and the S&P, these markets into their full trading day now. They're up but not
significantly. The European markets closing mixed and they have been lower.
But recovering some space, both in Paris and in the U.K.; those Asian markets the first out of the gate to react to the comments by President
Putin last night. It has to be said, if you are -- we haven't got the Russian market up here. But if you're an investor in Russian stocks, this
year alone, you've lost 20 percent.
So investors, certainly international investors in Russian stocks aren't liking what they are seeing to date. So there is some damage being wrought
to that Russian economy. And here you see what you would expect, really, oil prices higher.
They have been even higher. I mean, Brent crude pushing toward nearly 100; 99.5, I think, was its highest level. And you would expect that, as we have
-- you know, investors with real concerns about what is going on, not only with regard to the brink of some sort of conflict in Europe but the fact
that that might put Russian oil out of the market.
You can see Brent crude now down from its high but up nearly 4 percent on the day. CNN's Matt Egan joining us now from New York.
And I think -- I don't think you or I would be surprised at all at what this crisis over Ukraine is doing to the markets. Perhaps we should be
slightly surprised that it is a bit of a mixed bag today. What I am interested in talking to you about is --
[10:45:00]
ANDERSON: -- how any sanctions might hurt business and, therefore, investors going forward.
What have you seen to date with regard to sanctions, for example, out of the U.K.; the halting of the Nord Stream pipeline, between Germany and
Russia?
How do you see what we have seen today affecting the wider markets, Matt?
MATT EGAN, CNN BUSINESS SENIOR WRITER: Well, Becky, it is clearly adding to nervousness among investors. They're already nervous about high
inflation and more aggressive central banks.
And energy price shock coming out of this crisis would only make that situation worse. And we did see a shock in energy markets, at least
initially. As you mentioned, Brent crude came within 50 cents of hitting $100 a barrel for the first time since 2014.
It has since backed off to around $96.15. Same thing with U.S. oil prices, they shot up and those gains have moderated. And I think that's why we
actually have seen a relatively benign reaction from the stock market in the United States.
Dow futures were down 600 points overnight. And the fact that we have seen the Dow rebound significantly, only down 200 points now, is somewhat of a
surprise.
I think the fact you're seeing sanctions come out, you're seeing the threats of more sanctions, the fact that Germany has canceled the
certification of Nord Stream 2, all of this at a minimum adds uncertainty to an already uncertain situation.
It is also to see how all of this makes inflation worse. It means that European residents are not going to get as much natural gas. It is
important to look at Russia's stock market, down 20 percent so far this year. Becky. Vladimir Putin is already paying a hefty financial cost for
this situation.
ANDERSON: Yes, fascinating, isn't it?
Matt, always good to have you on. Thank you very much indeed.
When we come back, this is CONNECT THE WORLD, of course, it looks look a normal tourist shop, a place to buy clothes and souvenirs. But this store
is in Ukraine and its owner says the threat of a Russian invasion is already causing hardship there. Her story in just a moment.
(MUSIC PLAYING)
(COMMERCIAL BREAK)
(MUSIC PLAYING)
ANDERSON: Well, news just coming in. Joe Biden, the U.S. President, will speak on the Ukraine-Russia crisis at 2:00 pm Eastern time. It is a quarter
to 11:00 Eastern time. The time on the East Coast of the States.
So you'll work that out, just over three hours from now, Joe Biden will speak to the Russia-Ukraine crisis, which has ratcheted up since the
announcements by the Russian president around this time yesterday.
[10:50:00]
ANDERSON: What our primary focus is, rightly so, on the potential human cost of any war. There is an economic impact, too. And in Ukraine, that's
already being felt. Many small business owners are suffering from just the threat of a Russian invasion. My colleague, Michael Holmes, has one of
their stories.
(BEGIN VIDEOTAPE)
MICHAEL HOLMES, CNN ANCHOR AND CORRESPONDENT (voice-over): Lida Konukh manages a small clothing and souvenir business in Central Lviv, trying to
ignore the drumbeat of possible war, echoing around her country.
LIDA KONUKH, STORE MANAGER (through translator): The situation was much better after the new year. But now, you can feel the difference. Less
tourists means less business.
HOLMES: Small business operators, like Konukh, say these are tough times. No tourists and locals are hunkering down. First, it was COVID lockdowns.
Now it's the threat of war keeping the cash register quiet.
KONUKH (through translator): We don't know what will happen. No one knows it. The situation is difficult, for sure. And if you ask what to do if it
gets worse?
Then my answer is, I don't know. The only thing I know for sure, I will stay here, no matter what.
HOLMES (on camera): Now the pocketbook pain for ordinary Ukrainians is obvious. And nationally, it is, as well. GDP is down. Investors have fled
to the sidelines. Then obviously, an invasion would make everything that much worse.
But experts say, even if Putin's troops stay on the outside, things could be almost as grim, as they apply an economic stranglehold on this country.
TYMOFIY MYLOVANOV, PRESIDENT, KYIV SCHOOL OF ECONOMICS: Absolutely. Because the war is not just, you know, a kinetic or physical action. It's
also economic. It's cyber, diplomatic.
And, you know, the businesses are suffering now and the -- they divert in resources from -- from development, from business investments into
protecting operations.
And so if it continues, there will be -- there will be harassment, there will be damage and so that's a part of pressure.
DARIA BORYSENKO, STORE MANAGER: Not so many customers. We have -- we are - -
HOLMES (voice-over): Daria Borysenko manages a popular burger joint in Lviv. People are still coming in but she's worried about what might come.
(on camera): Are you worried about how an invasion might affect business?
BORYSENKO: Yes. It's really hard. It's an ecology situation. Not only about food, not only about smiles. That's just a reality right now.
HOLMES (voice-over): Still, like virtually all Ukrainians we meet, she's both stoic and confident in her country.
(on camera): Are you worried about the war?
BORYSENKO: Many of us, yes. But we are staying calm, because we understand. If we were nervous and come at it with a panic, it will be not
good for us.
HOLMES: Like most Ukrainians, nervous but unafraid -- Michael Holmes, CNN, Lviv, Ukraine.
(END VIDEOTAPE)
ANDERSON: We're keeping you bang up to date on the latest developments, after President Putin ordered Russian troops into two separatist pro-Moscow
regions after recognizing their independence on Monday.
More at the top of the hour; it's a two-hour show. Before that and after this break, a tense calm in the Canadian capital. We're live in Ottawa,
where police have new emergency powers to squash COVID-related protests. That is after this.
(MUSIC PLAYING)
(COMMERCIAL BREAK)
[10:55:00]
(MUSIC PLAYING)
ANDERSON: Canadian authorities have the green light to squash potential protests against COVID restrictions. Lawmakers approved the Emergencies Act
on Monday, extending prime minister Justin Trudeau's sweeping measures, intended to restore order.
The act passed even though police cleared cross-border blockades and demonstrations led by a trucker convoy, protesting against COVID mandates.
Let's bring in Paula Newton, in the Canadian capital of Ottawa.
After police broke up protests there over the weekend, what is the atmosphere like at this point?
PAULA NEWTON, CNN ANCHOR AND CORRESPONDENT: It is certainly calm, it is certainly quiet but I have to tell you it is anything other than normal. It
is not normal life here in the capital.
You're talking about the parliamentary precinct is still off limits unless you have a reason to be there, as if you work there. There is some relief
for local residents, local businesses. But there is still an incredibly high police presence, Becky.
What makes that possible is what you were just saying about those emergency powers. Prime minister Justin Trudeau justifying that yesterday. He claims
that the situation is fragile.
And he is worried, Becky, those protests will pop up again, not just here in Ottawa but along those border crossings, those crucial supply chain
routes with the United States.
Now the prime minister is being taken to task for this not just by the opposition but also the Civil Liberties Association here in Canada. That's
taking the government to court over this, saying, let's be clear, there is no legal justification for using the Emergencies Act. The risk for abuse is
high.
I want to give you some insight into how unprecedented this is. This is the first time this law has ever been used. It is enacted in 1988 but not
needing to be used so far. And it is really doing some novel things, not just being able to arrest people on the street just for being there, which
is not something that Canadians are used to.
But more than that, I was just hearing some of the bail hearings related to the protest organizers. They confirmed they've had their bank accounts
frozen, more than 200 to date.
That means even if you had a family and, you know, you participated in this protest and they froze your account, you can't pay your mortgage. You can't
pay for day care, you can't get money out of the bank. Those are the kinds of measures that are included in this.
And the issue here is that, if the blockades are open, if things are fine in front of parliament, why not rescind it?
Gives you an indication about how worried the government is, if they are not willing to do so just yet -- Becky.
ANDERSON: Paula Newton on the story for you. Always a pleasure. Thank you.
I'm Becky Anderson in Abu Dhabi. Stay with CNN. I'll be back at the top of the hour with the second hour of CONNECT THE WORLD. Stay with us.
END
