Former Prime Minister Tsipras States Yanis Varoufakis Was ‘Unfit’ as Greece's Treasury Chief During Debt Crisis
In a recently unveiled personal account, titled Ithaki, the former prime minister Tsipras pulls no punches while he examines the chaotic era of Greece's debt drama.
An Unconventional Appointment
According to Tsipras's recollections, Tsipras appointed that unorthodox economist Varoufakis as the treasury head mainly because of his worldwide fame and Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, truthfully, more of a star and less of an economist,” stated Tsipras.
Clashing Agendas
Tsipras claims that Varoufakis had a personal agenda which involved advancing Varoufakis's books as well as testing out his own game theories on the nation rather than truly fighting for the country's economic stability.
He noted how the talks to stave off bankruptcy became “not just a method of achieving a better deal for the country. They became a test, an historic opportunity to demonstrate the validity of his ideas.”
Critical Talks
Amid rollercoaster discussions, the country came perilously close to leaving the single currency area.
At stake was not only the country's future and those punishing cutbacks demanded in return for financial aid by international creditors.
Failed Alternatives
Efforts to find financing elsewhere, including an urgent appeal to the Kremlin to purchase Greek bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by U-Turn
In July 2015, the harsh conditions were subjected to a public vote, a move that threw the EU into a further crisis of identity.
Although the referendum was carried decisively by voters against the cuts, the prime minister was forced to ignore the result then negotiate a rescue deal with creditors which proved to be tougher.
Final Straw
The ex-PM revealed that he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who drew publicity, who appeared on the front pages of magazines the world over … it seemed he relished the spotlight.”
After the minister proposed a backup strategy involving creating a parallel currency and issuing coupons to retirees, the leader said he realised that it was the end and asked him: “Are you serious?”
Lasting Criticism
Within the book, the author concludes how Varoufakis demonstrated himself to be “unsuitable for a deal demanding complex and sensitive handling.”
Tsipras also wrote how Varoufakis's confrontational approach left him more and more alone among peers, put Greece at risk, and assisted hawks who were advocating a Greek exit from the euro.
This retelling of events has provoked fury and shock among certain groups, while the former minister has kept a conspicuous quiet regarding these claims.