Ex-PM Alexis Tsipras Claims Yanis Varoufakis Proved ‘Inappropriate’ as Greece's Finance Minister Amid Financial Meltdown

In a freshly published autobiography, named Ithaki, the former prime minister Tsipras does not hold back while he examines the chaotic era of Greece's financial crisis.

A Controversial Choice

As per the ex-PM's version, he selected that maverick academic Yanis Varoufakis to be the finance minister mainly due to his international reputation and his “extremely attractive” skills as a communicator.

“He was, truthfully, more of a personality and less of an economic expert,” recalled the 51-year-old.

Conflicting Agendas

The former leader claims how Varoufakis had a personal agenda which included promoting his books as well as experimenting with his own economic models on Greece rather than genuinely fighting for the country's financial survival.

Tsipras explained how those talks to prevent insolvency became “not just a method of achieving a better deal for the country. They were a test, an historic chance to prove the validity of Varoufakis's economic theories.”

High-Stakes Talks

Amid volatile discussions, the country found itself perilously on the brink of exiting the single currency area.

On the line lay not only the country's future and the severe austerity policies required in return for financial aid from international creditors.

Failed Alternatives

Efforts to secure financing elsewhere, including an urgent plea to Russia to buy Greek government bonds, were rejected.

Helping the indebted country would be tantamount to tossing cash in the trash-can, Putin reportedly told his Greek counterpart in Moscow.

Public Vote Followed by Reversal

That summer, the harsh conditions were subjected to a popular referendum, an action that threw Europe into deeper crisis of identity.

Even though the vote was won resoundingly by voters who opposed austerity, Tsipras had little option but to reject its outcome and negotiate a bailout package from foreign lenders that turned out to be tougher.

Final Straw

Tsipras revealed how he started questioning his finance minister quite early on.

“He was the face of the talks, the figure who drew publicity, who graced the front pages of publications globally … it seemed he relished his new role.”

When the minister proposed a backup strategy involving establishing a secondary currency as well as distributing coupons to retirees, Tsipras said he realised that it was game over and asked Varoufakis: “Can you be serious?”

Lasting Rebuke

In the book, Tsipras concludes how Varoufakis demonstrated himself to be “unfit for an agreement demanding intricate and delicate handling.”

He further claimed that his aggressive style made him more and more alone with colleagues, endangered the country, while assisted hardliners who were pushing for Grexit.

This retelling of events has provoked anger along with stunned disbelief in some quarters, whereas the former minister has kept a conspicuous quiet regarding these claims.

Amy Harrison
Amy Harrison

Aria Vance is a financial analyst and tech enthusiast with over a decade of experience in market research and digital innovation.