Ex-PM Tsipras Asserts Varoufakis Was ‘Inappropriate’ for the role of Greek Treasury Chief Amid Financial Meltdown

Within his recently unveiled autobiography, named Ithaki, the former prime minister Tsipras spares no criticism while he examines the turbulent era during Greece's debt drama.

A Controversial Appointment

In the ex-PM's recollections, Tsipras selected the maverick economist Yanis Varoufakis to be his finance minister largely because of his international reputation and his highly compelling skills as a public orator.

“He was, in reality, more of a celebrity rather than an economist,” recalled the 51-year-old.

Conflicting Priorities

Tsipras alleges that Varoufakis possessed his own motives which involved promoting his books and experimenting with his own economic models on the nation rather than truly advocating the country's economic stability.

Tsipras explained that the negotiations to prevent bankruptcy were “not only a way to secure a better deal for Greece. They were a test, an historic opportunity to demonstrate the truth of his economic theories.”

High-Stakes Negotiations

During tense negotiations, Greece came dangerously close to exiting the single currency area.

At stake was both Greece's destiny but also those severe austerity measures demanded in return for bailout funds from international creditors.

Failed Options

Attempts to find financing elsewhere, including an urgent plea to the Kremlin to purchase Greek bonds, were rejected.

Assisting Greece would be equivalent to throwing money in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.

Public Vote and Reversal

In July 2015, those punitive bailout terms were put to a public vote, a move that plunged Europe into a deeper crisis of identity.

Even though the vote was won decisively by those against austerity, the prime minister was forced to ignore the result then agree to a bailout package with foreign lenders which turned out to be tougher.

Breaking Point

The ex-PM claimed that he began to doubt his finance minister quite early on.

“Varoufakis was the face of the talks, the figure who attracted media attention, who appeared on the front pages of publications the world over … he gave the impression he was enjoying the spotlight.”

After Varoufakis proposed a backup strategy involving establishing a parallel currency as well as distributing coupons to pensioners, Tsipras knew it was game over and asked him: “Can you be serious?”

Enduring Rebuke

Within the memoir, the author concludes that Varoufakis demonstrated himself to be “unfit for an agreement demanding intricate and delicate handling.”

Tsipras also claimed how Varoufakis's confrontational approach made him increasingly isolated with colleagues, endangered the country, while assisted hawks that were pushing for Grexit.

This retelling of events has been met with fury along with shock among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.

Rebecca Phillips
Rebecca Phillips

A tech futurist and AI researcher with over a decade of experience in emerging technologies and digital transformation strategies.

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