Former Prime Minister Alexis Tsipras States Varoufakis Was ‘Unsuitable’ as Greece's Treasury Chief During Debt Crisis
Within his recently unveiled autobiography, called Ithaki, the former premier Tsipras spares no criticism as he revisits that chaotic era of Greece's debt drama.
A Controversial Choice
As per the ex-PM's version, Tsipras chose the maverick economist Varoufakis to be the finance minister mainly due to his international reputation and his “extremely attractive” skills as a communicator.
“He was, actually, more of a personality rather than an economic expert,” stated the 51-year-old.
Clashing Priorities
The former leader suggests how Varoufakis had his own agenda that involved promoting his books and testing out his game theories using the nation instead of genuinely fighting for its economic stability.
He explained that those talks to prevent insolvency became “not just a method to secure improved terms for the country. They became an experiment, an historic opportunity to demonstrate the truth of Varoufakis's economic theories.”
Critical Negotiations
Amid volatile negotiations, Greece came dangerously on the brink of exiting the eurozone.
At stake lay both Greece's future but also those punishing austerity measures required in exchange for bailout funds by international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, such as a desperate plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Helping Greece was equivalent to tossing cash in the trash-can, Putin reportedly informed his Greek counterpart during their meeting.
Referendum and Reversal
That summer, the harsh bailout terms were put to a popular referendum, a move which plunged the EU into deeper existential crisis.
Even though the vote was carried resoundingly by voters against the cuts, Tsipras was forced to ignore the result and agree to a rescue deal from foreign lenders that proved to be more severe.
Breaking Point
Tsipras revealed how he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who appeared on the covers of magazines globally … he gave the impression he relished the spotlight.”
When Varoufakis outlined a contingency plan involving establishing a secondary currency as well as issuing coupons to retirees, Tsipras said he realised it was game over and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras asserts how his former ally demonstrated himself to be “unfit for a deal demanding complex and sensitive handling.”
He further wrote that his confrontational style left him increasingly isolated with colleagues, put Greece at risk, while helped hawks who were advocating a Greek exit from the euro.
The retelling of history has been met with fury and shock in some quarters, whereas the former minister has so far kept a conspicuous quiet regarding these claims.
