Former Prime Minister Tsipras Asserts Varoufakis Proved ‘Unsuitable’ as Greek Treasury Chief During Financial Meltdown
In a freshly published autobiography, titled Ithaki, the ex- prime minister Tsipras spares no criticism as he revisits that chaotic period of Greece's economic turmoil.
An Unconventional Appointment
As per Tsipras's version, Tsipras appointed the unorthodox academic Varoufakis as his finance minister largely due to his global profile and his very persuasive skills as a public orator.
“In reality, he was, in reality, more of a star rather than an economist,” recalled Tsipras.
Clashing Agendas
Tsipras claims how his finance chief possessed his own motives that included promoting Varoufakis's publications and experimenting with his game theories on the nation instead of truly advocating the country's financial survival.
Tsipras noted that the negotiations to avoid insolvency were “not just a method of achieving improved terms for Greece. They were a test, a monumental chance to prove the truth of his ideas.”
High-Stakes Negotiations
Amid rollercoaster negotiations, Greece came perilously close to exiting the eurozone.
At stake lay both Greece's future but also those severe austerity measures demanded in return for bailout funds from international creditors.
Unsuccessful Options
Efforts to secure funds from other sources, including an urgent plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece would be equivalent to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the excoriating bailout terms were put to a public vote, a move which threw Europe into a further existential crisis.
Even though the referendum was won decisively by voters against austerity, Tsipras had little option but to reject its outcome and negotiate a bailout package from creditors which proved to be more severe.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“He was the face of the talks, the man who attracted media attention, who graced the covers of publications the world over … it seemed he was enjoying the spotlight.”
After the minister outlined a backup strategy that included creating a secondary currency as well as distributing vouchers to retirees, Tsipras knew it was the end and asked Varoufakis: “Is this for real?”
Lasting Rebuke
In the book, the author concludes how his former ally had proved himself “unsuitable for an agreement that required complex and delicate handling.”
Tsipras further claimed that his confrontational style made him more and more alone among peers, endangered the country, while helped hawks that were pushing for Grexit.
This account of history has been met with anger along with shock in some quarters, while the former minister has so far kept a deafening silence on the matter.