Within his freshly published autobiography, titled Ithaki, the former premier Alexis Tsipras does not hold back while he revisits that chaotic period of Greece's economic turmoil.
An Unconventional Choice
According to the ex-PM's recollections, Tsipras chose the unorthodox economist Varoufakis as his treasury head mainly due to his worldwide fame and his very persuasive skills as a speaker.
“In reality, he was, truthfully, more like a celebrity and less of an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader alleges that his finance chief possessed a personal motives which involved promoting Varoufakis's publications as well as experimenting with his own game theories on the nation instead of truly advocating its economic stability.
He explained that those negotiations to stave off bankruptcy became “not just a way of achieving a better deal for Greece. They became an experiment, an historic chance to prove the validity of Varoufakis's theories.”
High-Stakes Talks
Amid tense negotiations, the country found itself perilously on the brink of exiting the single currency area.
On the line was both the country's destiny and the severe austerity measures demanded in return for rescue loans from international creditors.
Unsuccessful Alternatives
Efforts to secure financing elsewhere, including an urgent appeal to Russia to purchase Greek government bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money in the trash-can, Putin reportedly told Tsipras in Moscow.
Public Vote and U-Turn
That summer, those excoriating conditions were put to a public vote, a move which plunged Europe into further existential crisis.
Even though the referendum was carried decisively by voters against austerity, the prime minister had little option to ignore the result and agree to a bailout package from creditors which turned out to be more severe.
Breaking Point
The ex-PM revealed that he began to doubt Varoufakis quite early on.
“He was the face of negotiation, the figure who attracted media attention, who graced the covers of magazines the world over … it seemed he relished his new role.”
When the minister proposed a contingency plan involving creating a parallel currency as well as issuing vouchers to retirees, the leader said he realised it was the end questioning Varoufakis: “Can you be serious?”
Lasting Criticism
Within the memoir, the author concludes how his former ally had proved himself to be “unfit for an agreement demanding complex and sensitive handling.”
He also wrote how Varoufakis's aggressive style left him increasingly isolated with colleagues, put Greece at risk, while assisted hawks that were advocating a Greek exit from the euro.
The retelling of events has been met with fury and shock among certain groups, while the former minister has maintained a conspicuous quiet regarding these claims.
