Former Prime Minister Tsipras Asserts Varoufakis Proved ‘Unfit’ for the role of Greece's Treasury Chief Amid Debt Crisis
In a recently unveiled personal account, titled Ithaki, the ex- leader Alexis Tsipras does not hold back while he revisits the turbulent era of Greece's economic turmoil.
A Controversial Choice
According to Tsipras's recollections, he chose that unorthodox economist Yanis Varoufakis as the treasury head largely due to his international reputation along with his highly compelling abilities when it came to communicator.
“He was, truthfully, more like a star and less of an economic expert,” wrote the 51-year-old.
Conflicting Priorities
The former leader suggests how Varoufakis possessed his own agenda that included advancing his publications and testing out his game theories using Greece instead of genuinely fighting for the country's financial survival.
He wrote that those negotiations to avoid insolvency were “not only a method to secure a better deal for the country. They became an experiment, an historic opportunity to prove the validity of his ideas.”
High-Stakes Talks
Amid rollercoaster negotiations, Greece came perilously close to leaving the eurozone.
At stake lay not only the country's future but also those punishing austerity measures demanded in return for rescue loans by international creditors.
Failed Options
Efforts to secure financing elsewhere, including a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Assisting Greece was tantamount to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote and Reversal
In July 2015, the excoriating bailout terms were subjected to a public vote, an action that plunged Europe into further existential crisis.
Even though the referendum was won resoundingly by voters against the cuts, Tsipras had little option to reject its outcome and negotiate a bailout package from foreign lenders which turned out to be tougher.
Final Straw
Tsipras claimed how he started questioning Varoufakis relatively soon.
“He was the face of the talks, the figure who attracted publicity, who appeared on the front pages of magazines the world over … it seemed he relished his new role.”
After the minister proposed a backup strategy involving creating a secondary currency as well as distributing vouchers to retirees, Tsipras knew it was game over questioning Varoufakis: “Is this for real?”
Enduring Rebuke
In the book, the author concludes that his former ally had proved himself “unsuitable for an agreement demanding complex and sensitive management.”
Tsipras further wrote that Varoufakis's aggressive approach made him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners who were pushing for Grexit.
The retelling of events has been met with anger along with shock among certain groups, whereas the former minister has so far maintained a deafening silence regarding these claims.