Former Prime Minister Tsipras Asserts Varoufakis Was ‘Unsuitable’ as Greece's Finance Minister During Financial Meltdown

Within his newly released personal account, called Ithaki, the former leader Tsipras does not hold back while he examines that turbulent era of Greece's debt drama.

A Controversial Appointment

As per Tsipras's account, he chose that maverick academic Yanis Varoufakis as the finance minister mainly because of the latter's international reputation along with Varoufakis's highly compelling abilities when it came to public orator.

“In reality, he was, in reality, more like a personality rather than an economic expert,” stated Tsipras.

Conflicting Priorities

The former leader suggests how his finance chief possessed his own agenda which included advancing his publications and experimenting with his economic models using Greece instead of genuinely fighting for its economic stability.

Tsipras wrote how the negotiations to prevent insolvency were “not just a method of achieving improved terms for the country. They were a test, a monumental chance to demonstrate the truth of his theories.”

Critical Negotiations

During tense discussions, the country found itself dangerously on the brink of exiting the single currency area.

At stake lay not only Greece's destiny but also those harsh austerity measures demanded in exchange for rescue loans from international creditors.

Failed Alternatives

Attempts to secure funds from other sources, including an urgent appeal to Russia to purchase Greek bonds, fell on stony ground.

Helping the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly informed Tsipras in Moscow.

Referendum and Reversal

In July 2015, the harsh conditions were put to a public vote, an action which threw Europe into a deeper existential crisis.

Although the referendum was carried resoundingly by those against austerity, the prime minister was forced to reject its outcome then agree to a bailout package from creditors which turned out to be more severe.

Final Straw

Tsipras claimed that he started questioning Varoufakis relatively soon.

“Varoufakis was the face of negotiation, the man who drew publicity, who appeared on the front pages of publications globally … he gave the impression he was enjoying the spotlight.”

After the minister proposed a backup strategy involving creating a secondary currency and issuing vouchers to retirees, the leader knew that it was the end and asked Varoufakis: “Can you be serious?”

Enduring Rebuke

In the memoir, Tsipras concludes that Varoufakis had proved himself to be “unsuitable for a deal that required complex and delicate handling.”

Tsipras also claimed how Varoufakis's confrontational approach made him increasingly isolated among peers, put Greece at risk, and helped hawks who were pushing for a Greek exit from the euro.

This account of history has been met with anger along with shock in some quarters, while Varoufakis has so far maintained a deafening silence on the matter.