Former Prime Minister Tsipras States Yanis Varoufakis Was ‘Unsuitable’ for the role of Greece's Treasury Chief Amid Debt Crisis

In a recently unveiled personal account, named Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he reflects on that turbulent period during Greece's economic turmoil.

An Unconventional Choice

As per Tsipras's account, he selected that maverick economist Varoufakis as his finance minister largely due to his worldwide fame along with his very persuasive abilities when it came to communicator.

“He was, truthfully, more of a star and less of an economist,” recalled the 51-year-old.

Conflicting Priorities

Tsipras claims how his finance chief possessed a personal agenda that involved promoting his publications as well as testing out his own economic models using the nation instead of truly advocating the country's financial survival.

He noted that those negotiations to prevent insolvency were “not just a method of achieving a better deal for the country. They were a test, a monumental opportunity to prove the validity of his theories.”

High-Stakes Negotiations

During rollercoaster discussions, the country came perilously close to leaving the eurozone.

On the line lay not only the country's future but also those punishing cutbacks required in return for bailout funds from foreign lenders.

Unsuccessful Options

Attempts to secure funds from other sources, including an urgent appeal to the Kremlin to buy Greek bonds, were rejected.

Assisting Greece would be equivalent to tossing cash in the trash-can, Putin reportedly informed Tsipras during their meeting.

Referendum and U-Turn

In July 2015, the harsh conditions were put to a popular referendum, an action that plunged the EU into a deeper crisis of identity.

Although the referendum was carried decisively by those who opposed austerity, Tsipras was forced to reject its outcome and negotiate a bailout package from foreign lenders which turned out to be even harsher.

Final Straw

Tsipras claimed how he began to doubt Varoufakis relatively soon.

“He was the public image of the talks, the man who drew media attention, who appeared on the front pages of magazines globally … he gave the impression he relished the spotlight.”

After the minister proposed a backup strategy that included creating a secondary currency as well as distributing coupons to retirees, Tsipras knew that it was game over and asked Varoufakis: “Can you be serious?”

Lasting Rebuke

Within the memoir, Tsipras asserts how his former ally demonstrated himself “unsuitable for an agreement that required complex and sensitive handling.”

He also wrote how Varoufakis's aggressive approach left him more and more alone with colleagues, endangered the country, and assisted hardliners that were advocating a Greek exit from the euro.

The retelling of events has been met with anger along with shock in some quarters, while the former minister has so far maintained a deafening silence regarding these claims.

James Simpson
James Simpson

A passionate gaming journalist and content creator with over a decade of experience covering the UK gaming scene and esports events.