Ex-PM Tsipras Asserts Varoufakis Was ‘Unsuitable’ as Greece's Finance Minister Amid Debt Crisis
Within his freshly published personal account, titled Ithaki, the ex- leader Alexis Tsipras spares no criticism as he reflects on that chaotic period during Greece's financial crisis.
A Controversial Appointment
As per the ex-PM's version, he selected the maverick economist Varoufakis to be his finance minister primarily due to the latter's global profile and his highly compelling abilities as a public orator.
“In reality, he was, actually, more like a star and less of an economist,” stated Tsipras.
Clashing Agendas
Tsipras claims that his finance chief possessed his own motives which involved promoting Varoufakis's books and experimenting with his own economic models on Greece instead of genuinely advocating its economic stability.
He noted that those discussions to prevent bankruptcy were “not only a way to secure a better deal for Greece. They were an experiment, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During rollercoaster negotiations, Greece found itself dangerously close to exiting the eurozone.
On the line was not only the country's future and the severe austerity policies demanded in return for financial aid by international creditors.
Unsuccessful Options
Attempts to find financing elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Assisting Greece would be equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Referendum and U-Turn
That summer, the excoriating conditions were subjected to a popular referendum, an action which plunged Europe into deeper crisis of identity.
Even though the referendum was carried decisively by those against austerity, the prime minister had little option but to reject its outcome then agree to a rescue deal from foreign lenders that turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of negotiation, the figure who attracted media attention, who graced the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
After the minister outlined a backup strategy involving creating a parallel currency as well as issuing vouchers to retirees, Tsipras knew it was game over and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author asserts how his former ally demonstrated himself to be “unsuitable for an agreement demanding complex and sensitive handling.”
He further wrote that Varoufakis's aggressive style made him increasingly isolated with colleagues, put Greece at risk, and helped hawks that were pushing for a Greek exit from the euro.
The retelling of events has provoked anger and shock among certain groups, whereas Varoufakis has kept a conspicuous quiet on the matter.
