Within his newly released memoir, called Ithaki, the ex- premier Alexis Tsipras does not hold back as he revisits that chaotic period during Greece's debt drama.
An Unconventional Appointment
According to the ex-PM's version, Tsipras selected that unorthodox economist Varoufakis to be his finance minister largely due to his worldwide fame and Varoufakis's “extremely attractive” skills as a public orator.
“He was, actually, more of a star rather than an economist,” stated the 51-year-old.
Conflicting Priorities
Tsipras alleges how his finance chief possessed his own agenda that included promoting Varoufakis's books and experimenting with his economic models on the nation instead of truly advocating the country's economic stability.
Tsipras explained that the negotiations to stave off bankruptcy became “not just a method of achieving a better deal for Greece. They became an experiment, a monumental opportunity to demonstrate the truth of Varoufakis's economic theories.”
Critical Negotiations
Amid volatile negotiations, the country found itself perilously on the brink of leaving the eurozone.
At stake was both the country's future but also the severe austerity policies demanded in exchange for rescue loans from international creditors.
Failed Alternatives
Attempts to secure financing from other sources, including an urgent appeal to Russia to buy Greek government bonds, were rejected.
Helping Greece was tantamount to throwing money into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, those harsh bailout terms were put to a public vote, a move that threw Europe into deeper crisis of identity.
Even though the referendum was won decisively by voters who opposed austerity, Tsipras had little option to reject its outcome then agree to a bailout package from creditors which turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt Varoufakis quite early on.
“Varoufakis was the face of negotiation, the figure who drew media attention, who appeared on the front pages of publications the world over … it seemed he was enjoying his new role.”
After Varoufakis outlined a backup strategy involving creating a secondary currency and distributing coupons to pensioners, the leader said he realised that it was game over questioning him: “Are you serious?”
Enduring Rebuke
In the memoir, the author concludes how his former ally had proved himself “unsuitable for a deal that required intricate and sensitive handling.”
He also wrote that Varoufakis's confrontational style made him increasingly isolated with colleagues, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
This retelling of events has provoked fury along with shock in some quarters, whereas the former minister has kept a conspicuous quiet regarding these claims.
