Former Prime Minister Tsipras States Yanis Varoufakis Was ‘Inappropriate’ for the role of Greek Finance Minister Amid Financial Meltdown

In a newly released personal account, named Ithaki, the ex- leader Alexis Tsipras pulls no punches as he revisits the turbulent era of Greece's financial crisis.

An Unconventional Appointment

In Tsipras's account, Tsipras selected the unorthodox economist Yanis Varoufakis as the treasury head mainly because of the latter's global profile and his highly compelling abilities when it came to public orator.

“He was, actually, more of a star and less of an economist,” wrote Tsipras.

Clashing Priorities

The former leader suggests that his finance chief possessed his own agenda which included promoting Varoufakis's publications and testing out his own game theories on Greece instead of truly advocating its financial survival.

He noted that those negotiations to avoid insolvency became “not only a method of achieving a better deal for the country. They became an experiment, a monumental chance to demonstrate the validity of his economic theories.”

High-Stakes Negotiations

Amid volatile negotiations, the country came dangerously on the brink of leaving the single currency area.

At stake lay not only Greece's destiny and the punishing austerity policies required in exchange for financial aid by international creditors.

Unsuccessful Options

Efforts to secure funds elsewhere, such as an urgent appeal to the Kremlin to buy Greek bonds, fell on stony ground.

Assisting Greece would be tantamount to tossing cash in the trash-can, Putin is reputed to have informed his Greek counterpart during their meeting.

Public Vote Followed by U-Turn

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

Although the vote was won resoundingly by those who opposed the cuts, Tsipras had little option but to ignore the result then agree to a rescue deal from foreign lenders which proved to be more severe.

Breaking Point

The ex-PM claimed how he started questioning Varoufakis relatively soon.

“He was the face of negotiation, the man who attracted publicity, who graced the covers of magazines globally … it seemed he relished his new role.”

When Varoufakis outlined a contingency plan that included creating a parallel currency and distributing coupons to pensioners, the leader said he realised that it was game over and asked him: “Is this for real?”

Lasting Rebuke

In the book, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal that required intricate and delicate handling.”

Tsipras also claimed that Varoufakis's aggressive approach left him more and more alone with colleagues, put Greece at risk, and assisted hardliners that were advocating Grexit.

The account of events has provoked anger and shock among certain groups, while the former minister has maintained a conspicuous quiet regarding these claims.