Within his freshly published autobiography, named Ithaki, the ex- premier Alexis Tsipras pulls no punches while he examines the chaotic era during Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, he chose the unorthodox economist Varoufakis to be his treasury head largely because of the latter's global profile and his highly compelling skills as a speaker.
“He was, truthfully, more of a personality and less of an economic expert,” wrote Tsipras.
Clashing Agendas
The former leader claims how his finance chief possessed his own agenda that involved promoting Varoufakis's books as well as testing out his own game theories using the nation instead of truly advocating the country's financial survival.
He wrote how those negotiations to avoid bankruptcy were “not only a way to secure improved terms for the country. They were an experiment, a monumental opportunity to prove the truth of Varoufakis's theories.”
High-Stakes Talks
During volatile negotiations, Greece came dangerously on the brink of leaving the eurozone.
On the line was not only the country's destiny and the harsh austerity policies required in return for bailout funds from foreign lenders.
Unsuccessful Alternatives
Efforts to find funds elsewhere, such as an urgent appeal to Russia to purchase Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly told Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were put to a popular referendum, an action that plunged the EU into deeper existential crisis.
Even though the vote was carried decisively by those who opposed austerity, the prime minister was forced to ignore the result then negotiate a bailout package from foreign lenders which proved to be more severe.
Breaking Point
The ex-PM claimed how he began to doubt his finance minister quite early on.
“He was the face of the talks, the man who attracted media attention, who graced the covers of publications the world over … he gave the impression he relished the spotlight.”
When Varoufakis outlined a contingency plan that included establishing a parallel currency and distributing coupons to pensioners, Tsipras knew that it was game over questioning Varoufakis: “Can you be serious?”
Lasting Criticism
In the memoir, the author asserts how his former ally demonstrated himself to be “unsuitable for an agreement demanding intricate and sensitive handling.”
He further wrote that Varoufakis's aggressive approach left him increasingly isolated among peers, put Greece at risk, and helped hawks who were advocating a Greek exit from the euro.
The account of events has been met with anger along with stunned disbelief among certain groups, whereas Varoufakis has maintained a deafening silence on the matter.
