Within his freshly published autobiography, named Ithaki, the former leader Alexis Tsipras spares no criticism as he revisits the turbulent period of Greece's economic turmoil.
A Controversial Appointment
According to Tsipras's account, he selected the unorthodox academic Varoufakis to be the finance minister largely due to his international reputation and Varoufakis's very persuasive abilities when it came to speaker.
“In reality, he was, truthfully, more of a star and less of an economist,” wrote Tsipras.
Clashing Agendas
Tsipras claims how his finance chief possessed a personal motives which included promoting his publications as well as testing out his own economic models on Greece rather than truly advocating the country's financial survival.
He noted that those discussions to avoid insolvency became “not just a way to secure improved terms for Greece. They were a test, an historic chance to prove the truth of Varoufakis's theories.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came perilously on the brink of leaving the single currency area.
On the line was not only Greece's destiny and those severe austerity policies required in return for financial aid from foreign lenders.
Failed Options
Efforts to secure funds elsewhere, including a desperate plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Assisting Greece would be tantamount to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
In July 2015, the harsh bailout terms were subjected to a popular referendum, an action that threw the EU into deeper existential crisis.
Even though the vote was won resoundingly by voters against the cuts, the prime minister had little option to reject its outcome then agree to a bailout package from creditors which proved to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
After Varoufakis outlined a contingency plan involving establishing a secondary currency and issuing vouchers to retirees, Tsipras knew it was game over questioning him: “Is this for real?”
Lasting Criticism
Within the memoir, the author concludes how Varoufakis had proved himself “unfit for a deal that required intricate and delicate management.”
Tsipras further claimed how his aggressive style left him increasingly isolated with colleagues, endangered the country, while assisted hardliners who were advocating Grexit.
The retelling of events has been met with anger and shock in some quarters, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
