In a newly released autobiography, named Ithaki, the former prime minister Alexis Tsipras does not hold back while he examines that turbulent period of Greece's debt drama.
An Unconventional Appointment
As per Tsipras's account, Tsipras chose the maverick economist Varoufakis as the finance minister largely due to the latter's worldwide fame along with his very persuasive skills when it came to communicator.
“He was, actually, more of a star rather than an economist,” recalled the 51-year-old.
Conflicting Priorities
The former leader alleges that Varoufakis possessed a personal agenda which involved advancing his books as well as testing out his economic models using Greece rather than truly fighting for its financial survival.
He explained how those discussions to avoid bankruptcy were “not just a way to secure improved terms for the country. They became an experiment, a monumental chance to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During tense discussions, Greece found itself dangerously close to leaving the eurozone.
At stake was both Greece's destiny and those punishing austerity measures required in exchange for financial aid from foreign lenders.
Unsuccessful Options
Attempts to find funds elsewhere, including a desperate plea to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, Putin reportedly told Tsipras during their meeting.
Referendum Followed by Reversal
That summer, the harsh bailout terms were subjected to a public vote, a move that threw the EU into a deeper crisis of identity.
Even though the vote was carried decisively by voters against the cuts, the prime minister was forced but to ignore the result then negotiate a bailout package from creditors that proved to be even harsher.
Breaking Point
Tsipras claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of negotiation, the figure who drew media attention, who graced the front pages of magazines the world over … it seemed he relished the spotlight.”
When the minister outlined a backup strategy that included creating a parallel currency as well as distributing coupons to pensioners, the leader knew it was game over and asked him: “Can you be serious?”
Enduring Rebuke
Within the memoir, Tsipras concludes that Varoufakis demonstrated himself to be “unfit for a deal demanding complex and delicate management.”
He further claimed how Varoufakis's confrontational approach left him more and more alone with colleagues, endangered the country, while helped hawks that were pushing for Grexit.
The account of events has been met with anger and shock among certain groups, while Varoufakis has so far kept a conspicuous quiet on the matter.
