Former Prime Minister Alexis Tsipras Claims Yanis Varoufakis Was ‘Unfit’ as Greek Treasury Chief During Debt Crisis

Within his freshly published personal account, called Ithaki, the former leader Tsipras pulls no punches as he examines the turbulent era of Greece's financial crisis.

A Controversial Appointment

In Tsipras's version, he selected that unorthodox economist Varoufakis to be the finance minister primarily because of his global profile and Varoufakis's very persuasive abilities when it came to communicator.

“He was, actually, more like a personality rather than an economist,” stated the 51-year-old.

Conflicting Agendas

The former leader alleges that Varoufakis possessed a personal motives that included advancing Varoufakis's books as well as experimenting with his own game theories on Greece instead of genuinely advocating the country's financial survival.

He noted that those negotiations to prevent bankruptcy became “not just a method to secure improved terms for the country. They became an experiment, an historic opportunity to prove the truth of his economic theories.”

Critical Talks

During tense discussions, Greece came perilously on the brink of exiting the single currency area.

On the line lay not only the country's future and those punishing cutbacks required in exchange for rescue loans by foreign lenders.

Unsuccessful Alternatives

Efforts to secure funds from other sources, including an urgent appeal to Russia to buy Greek government bonds, fell on stony ground.

Helping Greece was equivalent to throwing money in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.

Public Vote and Reversal

That summer, those punitive conditions were put to a public vote, an action that threw the EU into a further crisis of identity.

Even though the vote was carried resoundingly by voters against the cuts, Tsipras had little option to reject its outcome and agree to a bailout package with creditors that proved to be tougher.

Final Straw

Tsipras revealed how he started questioning his finance minister relatively soon.

“He was the public image of the talks, the figure who drew publicity, who appeared on the front pages of magazines globally … he gave the impression he was enjoying the spotlight.”

When Varoufakis proposed a backup strategy that included establishing a secondary currency as well as distributing vouchers to pensioners, Tsipras knew it was game over and asked Varoufakis: “Is this for real?”

Enduring Rebuke

In the book, Tsipras asserts that Varoufakis had proved himself to be “unsuitable for an agreement that required intricate and delicate management.”

Tsipras also wrote how his confrontational style left him more and more alone among peers, endangered the country, and assisted hawks who were advocating a Greek exit from the euro.

This retelling of history has been met with anger and stunned disbelief in some quarters, whereas Varoufakis has so far kept a deafening silence on the matter.

Brent Berry
Brent Berry

Sophie is an interior designer and sustainability advocate, passionate about creating beautiful, eco-friendly homes.