Former Prime Minister Tsipras States Yanis Varoufakis Proved ‘Inappropriate’ as Greece's Treasury Chief During Financial Meltdown

Within his freshly published autobiography, named Ithaki, the former leader Alexis Tsipras pulls no punches while he reflects on that chaotic era during Greece's economic turmoil.

An Unconventional Choice

As per the ex-PM's recollections, he selected the maverick economist Yanis Varoufakis as his treasury head largely because of his international reputation and Varoufakis's highly compelling abilities when it came to speaker.

“He was, actually, more like a celebrity rather than an economic expert,” wrote the 51-year-old.

Conflicting Agendas

Tsipras suggests how Varoufakis possessed his own agenda which involved promoting Varoufakis's books as well as testing out his own game theories on Greece rather than truly fighting for its economic stability.

Tsipras wrote how those discussions to stave off insolvency were “not only a method of achieving a better deal for the country. They became an experiment, an historic chance to demonstrate the truth of Varoufakis's ideas.”

High-Stakes Negotiations

During rollercoaster negotiations, Greece found itself dangerously on the brink of leaving the eurozone.

At stake lay both Greece's future but also those punishing austerity measures demanded in return for financial aid from international creditors.

Unsuccessful Options

Efforts to find funds elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, went unanswered.

Helping the indebted country was equivalent to tossing cash into the garbage, Putin is reputed to have told his Greek counterpart during their meeting.

Referendum and Reversal

That summer, the punitive bailout terms were subjected to a public vote, a move which threw Europe into deeper crisis of identity.

Although the vote was carried resoundingly by those against the cuts, the prime minister was forced to reject its outcome and negotiate a bailout package from creditors which turned out to be tougher.

Final Straw

Tsipras revealed how he started questioning Varoufakis quite early on.

“Varoufakis was the face of the talks, the figure who attracted publicity, who appeared on the covers of publications globally … it seemed he relished his new role.”

After the minister outlined a backup strategy that included creating a secondary currency and issuing vouchers to retirees, the leader said he realised that it was the end and asked him: “Can you be serious?”

Lasting Rebuke

Within the book, Tsipras asserts that Varoufakis had proved himself “unfit for an agreement that required intricate and delicate handling.”

He also claimed how his confrontational approach made him more and more alone with colleagues, endangered the country, while assisted hawks who were advocating a Greek exit from the euro.

This account of events has been met with anger and shock in some quarters, whereas Varoufakis has so far maintained a conspicuous quiet regarding these claims.