Ex-PM Tsipras States Varoufakis Was ‘Unsuitable’ as Greek Treasury Chief Amid Financial Meltdown
In a newly released personal account, called Ithaki, the former premier Alexis Tsipras spares no criticism as he examines the chaotic era of Greece's economic turmoil.
A Controversial Appointment
In the ex-PM's account, Tsipras selected the maverick economist Varoufakis to be his treasury head largely due to the latter's global profile along with Varoufakis's very persuasive skills as a communicator.
“He was, actually, more of a personality rather than an economic expert,” stated Tsipras.
Conflicting Priorities
Tsipras alleges how his finance chief possessed his own agenda which included promoting Varoufakis's publications and testing out his own game theories on the nation rather than genuinely advocating the country's financial survival.
Tsipras noted how those negotiations to stave off bankruptcy became “not only a method of achieving improved terms for the country. They became a test, a monumental chance to prove the validity of Varoufakis's economic theories.”
Critical Negotiations
During volatile discussions, the country found itself perilously close to exiting the single currency area.
On the line was not only the country's destiny and those severe austerity policies demanded in return for financial aid by international creditors.
Failed Options
Attempts to find financing from other sources, such as a desperate appeal to the Kremlin to purchase Greek bonds, were rejected.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly told his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, those harsh bailout terms were subjected to a popular referendum, a move which threw Europe into a further crisis of identity.
Even though the referendum was carried decisively by those against austerity, the prime minister had little option to ignore the result and agree to a rescue deal from creditors which turned out to be even harsher.
Final Straw
Tsipras revealed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who drew media attention, who graced the covers of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy that included creating a secondary currency as well as issuing coupons to pensioners, Tsipras knew that it was the end questioning Varoufakis: “Are you serious?”
Lasting Rebuke
In the book, the author concludes that his former ally had proved himself to be “unfit for an agreement that required intricate and delicate handling.”
Tsipras further claimed how his aggressive approach left him more and more alone among peers, endangered the country, while assisted hardliners who were advocating a Greek exit from the euro.
This account of history has provoked anger and shock in some quarters, while Varoufakis has so far kept a conspicuous quiet regarding these claims.
