Ex-PM Alexis Tsipras Claims Varoufakis Was ‘Unsuitable’ as Greece's Finance Minister During Financial Meltdown
In a recently unveiled memoir, titled Ithaki, the ex- leader Tsipras does not hold back as he reflects on that turbulent period during Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's version, Tsipras appointed the unorthodox economist Yanis Varoufakis as his finance minister largely due to the latter's international reputation along with Varoufakis's very persuasive skills when it came to speaker.
“He was, actually, more like a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Priorities
Tsipras alleges that Varoufakis possessed a personal motives which included advancing his books and testing out his game theories on the nation rather than genuinely advocating the country's financial survival.
Tsipras noted that the negotiations to stave off bankruptcy became “not just a way to secure a better deal for Greece. They became an experiment, a monumental opportunity to prove the validity of his theories.”
High-Stakes Talks
During tense negotiations, the country found itself dangerously close to exiting the eurozone.
At stake lay not only the country's destiny and the punishing austerity measures demanded in return for financial aid by international creditors.
Failed Options
Attempts to secure funds elsewhere, including a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, those excoriating conditions were put to a popular referendum, a move that threw the EU into a deeper existential crisis.
Even though the vote was carried resoundingly by voters against austerity, Tsipras was forced but to ignore the result then negotiate a bailout package with foreign lenders that proved to be more severe.
Breaking Point
Tsipras revealed that he started questioning Varoufakis quite early on.
“He was the public image of the talks, the man who drew media attention, who graced the covers of publications the world over … it seemed he relished the spotlight.”
When the minister proposed a backup strategy that included creating a secondary currency as well as issuing coupons to retirees, Tsipras said he realised that it was the end questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
In the memoir, the author asserts that his former ally had proved himself “unsuitable for a deal demanding intricate and delicate management.”
Tsipras further wrote how Varoufakis's confrontational style left him increasingly isolated among peers, put Greece at risk, while assisted hawks who were advocating a Greek exit from the euro.
The account of history has been met with anger along with stunned disbelief in some quarters, while the former minister has so far maintained a deafening silence on the matter.