Former Prime Minister Tsipras Claims Varoufakis Was ‘Inappropriate’ as Greece's Treasury Chief During Financial Meltdown
In a freshly published memoir, named Ithaki, the former prime minister Alexis Tsipras does not hold back as he examines the turbulent era during Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's version, he selected that maverick economist Yanis Varoufakis to be the finance minister mainly due to the latter's worldwide fame and Varoufakis's “extremely attractive” abilities as a public orator.
“He was, in reality, more of a personality rather than an economist,” stated the 51-year-old.
Clashing Agendas
Tsipras alleges how his finance chief possessed a personal motives that involved promoting Varoufakis's publications as well as experimenting with his theories on Greece instead of truly advocating the country's financial survival.
Tsipras explained that those discussions to prevent insolvency were “not just a way of achieving improved terms for the country. They were a test, an historic opportunity to demonstrate the validity of his economic theories.”
Critical Negotiations
Amid rollercoaster discussions, Greece found itself dangerously on the brink of leaving the single currency area.
On the line was both Greece's destiny and the harsh austerity policies required in return for rescue loans by foreign lenders.
Failed Options
Efforts to secure financing elsewhere, including an urgent plea to Russia to purchase Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to tossing cash in the trash-can, Putin reportedly informed Tsipras in Moscow.
Public Vote Followed by U-Turn
In July 2015, those punitive bailout terms were put to a public vote, a move which threw Europe into further crisis of identity.
Even though the vote was carried resoundingly by voters who opposed the cuts, Tsipras was forced but to reject its outcome then agree to a bailout package from creditors which turned out to be more severe.
Final Straw
The ex-PM revealed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who drew media attention, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
When the minister outlined a backup strategy involving creating a parallel currency as well as distributing vouchers to pensioners, the leader knew that it was game over questioning him: “Can you be serious?”
Enduring Rebuke
In the book, Tsipras concludes how Varoufakis demonstrated himself to be “unfit for a deal that required complex and sensitive management.”
He also wrote how Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, while helped hardliners that were pushing for Grexit.
This account of history has provoked fury and shock in some quarters, whereas the former minister has so far kept a deafening silence on the matter.
