Ex-PM Alexis Tsipras Claims Varoufakis Was ‘Unfit’ as Greece's Finance Minister Amid Debt Crisis
Within his recently unveiled memoir, named Ithaki, the ex- premier Alexis Tsipras pulls no punches as he reflects on that turbulent period of Greece's debt drama.
A Controversial Appointment
According to Tsipras's recollections, Tsipras chose the unorthodox academic Yanis Varoufakis as his finance minister largely because of his global profile and Varoufakis's “extremely attractive” skills as a public orator.
“In reality, he was, in reality, more like a personality and less of an economist,” stated Tsipras.
Conflicting Priorities
Tsipras claims that Varoufakis possessed his own motives which included promoting Varoufakis's publications and experimenting with his game theories on Greece instead of truly fighting for its economic stability.
He explained that the negotiations to avoid bankruptcy were “not only a way of achieving a better deal for the country. They became a test, a monumental chance to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
Amid rollercoaster negotiations, the country found itself perilously on the brink of exiting the eurozone.
At stake lay not only the country's future but also the punishing austerity measures required in return for rescue loans from foreign lenders.
Unsuccessful Alternatives
Attempts to find funds from other sources, including a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum and U-Turn
In July 2015, the punitive bailout terms were put to a public vote, a move that threw Europe into a further existential crisis.
Although the referendum was carried decisively by those against austerity, Tsipras had little option to ignore the result then negotiate a bailout package with creditors which turned out to be tougher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who attracted media attention, who graced the covers of publications the world over … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included creating a parallel currency as well as issuing vouchers to retirees, the leader said he realised that it was the end questioning Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes that Varoufakis had proved himself “unfit for an agreement that required complex and sensitive management.”
Tsipras also wrote how his confrontational style made him more and more alone among peers, put Greece at risk, while assisted hardliners that were pushing for a Greek exit from the euro.
The account of history has provoked anger and shock in some quarters, while Varoufakis has so far maintained a conspicuous quiet regarding these claims.
