Within his freshly published memoir, called Ithaki, the ex- premier Alexis Tsipras pulls no punches while he revisits that chaotic era of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's version, he selected the unorthodox academic Varoufakis to be the treasury head mainly because of the latter's international reputation along with his highly compelling abilities as a speaker.
“In reality, he was, truthfully, more like a personality and less of an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader alleges that his finance chief had a personal motives which involved promoting Varoufakis's books and testing out his own economic models using the nation instead of genuinely fighting for its financial survival.
He explained how the negotiations to prevent bankruptcy became “not only a method of achieving a better deal for Greece. They were an experiment, a monumental chance to prove the truth of Varoufakis's theories.”
High-Stakes Talks
Amid rollercoaster negotiations, Greece found itself dangerously on the brink of leaving the eurozone.
On the line was not only the country's future and those severe austerity policies demanded in exchange for financial aid by foreign lenders.
Unsuccessful Alternatives
Efforts to find financing from other sources, such as a desperate plea to the Kremlin to purchase Greek bonds, went unanswered.
Assisting Greece was equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Public Vote and Reversal
That summer, the excoriating bailout terms were subjected to a popular referendum, a move that plunged Europe into further crisis of identity.
Even though the referendum was won resoundingly by voters against austerity, the prime minister had little option to reject its outcome and agree to a rescue deal with foreign lenders that proved to be tougher.
Final Straw
Tsipras claimed that he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the man who attracted media attention, who appeared on the front pages of publications globally … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a contingency plan involving establishing a parallel currency and distributing coupons to retirees, Tsipras knew that it was game over and asked him: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras asserts that Varoufakis had proved himself “unsuitable for an agreement demanding complex and delicate management.”
Tsipras further wrote how Varoufakis's confrontational approach made him more and more alone with colleagues, put Greece at risk, while assisted hardliners who were pushing for a Greek exit from the euro.
The retelling of events has provoked anger and shock among certain groups, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
