Within his newly released personal account, titled Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he examines that turbulent period during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's version, he appointed the unorthodox economist Varoufakis as his finance minister primarily because of his international reputation and his highly compelling skills when it came to speaker.
“In reality, he was, truthfully, more of a celebrity rather than an economist,” stated Tsipras.
Conflicting Priorities
Tsipras suggests that his finance chief possessed his own motives that involved advancing Varoufakis's publications as well as testing out his game theories on Greece instead of genuinely fighting for its economic stability.
He wrote that those negotiations to avoid bankruptcy were “not just a way of achieving a better deal for Greece. They became a test, an historic opportunity to prove the validity of Varoufakis's theories.”
Critical Negotiations
Amid volatile discussions, Greece came dangerously on the brink of leaving the eurozone.
On the line lay both Greece's future and the punishing cutbacks demanded in return for bailout funds from international creditors.
Failed Alternatives
Efforts to find financing elsewhere, including an urgent appeal to Russia to purchase Greek bonds, were rejected.
Helping the indebted country would be tantamount to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and Reversal
In July 2015, the harsh bailout terms were subjected to a popular referendum, a move which plunged the EU into deeper crisis of identity.
Although the referendum was carried decisively by those who opposed austerity, the prime minister had little option but to ignore the result and agree to a bailout package with foreign lenders that turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning Varoufakis relatively soon.
“He was the public image of the talks, the man who drew media attention, who graced the front pages of publications the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a contingency plan involving establishing a secondary currency and issuing vouchers to pensioners, the leader said he realised it was game over questioning him: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author asserts that Varoufakis had proved himself to be “unfit for a deal demanding intricate and delicate handling.”
He also wrote that Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, while helped hardliners who were pushing for a Greek exit from the euro.
The retelling of events has been met with anger along with stunned disbelief in some quarters, while the former minister has maintained a deafening silence regarding these claims.
