Former Prime Minister Tsipras States Varoufakis Proved ‘Unsuitable’ for the role of Greece's Treasury Chief During Debt Crisis
In a newly released memoir, named Ithaki, the former leader Alexis Tsipras spares no criticism while he reflects on that chaotic period during Greece's debt drama.
An Unconventional Appointment
According to the ex-PM's recollections, he appointed the unorthodox economist Varoufakis to be his finance minister primarily because of the latter's global profile and his very persuasive abilities when it came to public orator.
“He was, actually, more of a personality and less of an economist,” stated the 51-year-old.
Clashing Priorities
The former leader claims how his finance chief had his own motives which involved advancing his books and experimenting with his own economic models using the nation instead of truly advocating its financial survival.
He noted that those negotiations to prevent bankruptcy became “not only a method of achieving a better deal for Greece. They were a test, an historic opportunity to demonstrate the validity of his economic theories.”
Critical Negotiations
During tense negotiations, the country found itself perilously close to exiting the single currency area.
On the line was not only Greece's future and the punishing cutbacks required in return for rescue loans by international creditors.
Unsuccessful Alternatives
Efforts to secure funds from other sources, including an urgent plea to the Kremlin to purchase Greek bonds, fell on stony ground.
Helping the indebted country was equivalent to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Referendum Followed by Reversal
That summer, the harsh conditions were subjected to a public vote, a move that threw the EU into further crisis of identity.
Although the vote was won resoundingly by those who opposed austerity, the prime minister had little option but to ignore the result then agree to a rescue deal from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM claimed how he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the figure who drew media attention, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
When the minister outlined a backup strategy involving establishing a parallel currency and issuing vouchers to retirees, Tsipras knew that it was game over questioning him: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes how Varoufakis demonstrated himself “unsuitable for a deal that required intricate and delicate management.”
Tsipras also claimed how Varoufakis's aggressive approach left him more and more alone with colleagues, endangered the country, while assisted hardliners that were pushing for Grexit.
The retelling of history has provoked fury along with stunned disbelief in some quarters, whereas the former minister has maintained a deafening silence regarding these claims.
