Within his recently unveiled personal account, titled Ithaki, the former prime minister Alexis Tsipras pulls no punches as he reflects on that turbulent period of Greece's financial crisis.
A Controversial Appointment
According to the ex-PM's recollections, Tsipras appointed the unorthodox economist Varoufakis to be the treasury head primarily because of the latter's international reputation and Varoufakis's very persuasive abilities as a public orator.
“In reality, he was, in reality, more like a star and less of an economist,” stated Tsipras.
Clashing Agendas
The former leader claims how Varoufakis had his own motives which included promoting his publications as well as experimenting with his own game theories using the nation rather than genuinely fighting for its financial survival.
He wrote how those discussions to avoid insolvency were “not only a way of achieving a better deal for the country. They became an experiment, an historic chance to demonstrate the validity of Varoufakis's theories.”
High-Stakes Negotiations
During rollercoaster negotiations, the country found itself perilously close to leaving the eurozone.
At stake was not only Greece's destiny but also those punishing austerity measures required in exchange for bailout funds by foreign lenders.
Failed Options
Attempts to find financing from other sources, including an urgent appeal to the Kremlin to buy Greek government bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash into the garbage, Putin reportedly told Tsipras in Moscow.
Public Vote Followed by Reversal
In July 2015, the punitive bailout terms were put to a popular referendum, a move that plunged Europe into a deeper crisis of identity.
Although the vote was carried resoundingly by voters who opposed austerity, the prime minister was forced to ignore the result and agree to a rescue deal from creditors that turned out to be even harsher.
Final Straw
Tsipras claimed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the man who attracted media attention, who graced the covers of publications the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy involving establishing a secondary currency as well as issuing coupons to pensioners, the leader knew that it was game over and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the memoir, the author asserts how his former ally demonstrated himself “unsuitable for a deal that required intricate and delicate handling.”
Tsipras also claimed how Varoufakis's aggressive style made him more and more alone among peers, endangered the country, while helped hardliners who were advocating Grexit.
This retelling of history has been met with anger along with stunned disbelief among certain groups, while Varoufakis has kept a deafening silence regarding these claims.
