Ex-PM Alexis Tsipras Claims Yanis Varoufakis Was ‘Unfit’ for the role of Greece's Finance Minister During Debt Crisis
In a newly released autobiography, titled Ithaki, the ex- leader Alexis Tsipras does not hold back while he examines that chaotic period during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's recollections, he chose that unorthodox economist Yanis Varoufakis to be his finance minister primarily because of the latter's worldwide fame along with Varoufakis's highly compelling skills when it came to public orator.
“He was, truthfully, more of a personality rather than an economic expert,” wrote the 51-year-old.
Clashing Agendas
Tsipras suggests that Varoufakis had his own agenda which involved advancing Varoufakis's publications as well as testing out his own theories on Greece rather than truly advocating the country's economic stability.
Tsipras explained that the talks to prevent insolvency were “not only a method to secure a better deal for Greece. They became a test, an historic opportunity to prove the truth of his theories.”
Critical Negotiations
During tense discussions, Greece found itself dangerously on the brink of leaving the single currency area.
On the line lay not only the country's future but also the harsh cutbacks demanded in exchange for bailout funds by foreign lenders.
Failed Alternatives
Efforts to secure financing elsewhere, such as a desperate appeal to Russia to purchase Greek bonds, were rejected.
Helping Greece was equivalent to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the punitive conditions were subjected to a popular referendum, an action that threw the EU into deeper existential crisis.
Even though the referendum was carried resoundingly by voters against austerity, the prime minister was forced but to reject its outcome and negotiate a bailout package with foreign lenders that proved to be tougher.
Final Straw
The ex-PM claimed that he began to doubt Varoufakis relatively soon.
“He was the face of negotiation, the figure who drew media attention, who graced the covers of magazines globally … it seemed he relished his new role.”
When the minister outlined a contingency plan involving creating a parallel currency as well as distributing vouchers to retirees, the leader knew it was game over questioning him: “Are you serious?”
Enduring Criticism
Within the book, the author concludes how Varoufakis had proved himself to be “unsuitable for an agreement that required complex and sensitive handling.”
He also wrote how his confrontational style made him increasingly isolated among peers, endangered the country, while assisted hawks that were advocating a Greek exit from the euro.
The retelling of history has provoked fury and shock among certain groups, while the former minister has kept a deafening silence on the matter.
