Within his newly released memoir, titled Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he revisits that turbulent era of Greece's economic turmoil.
A Controversial Choice
In Tsipras's version, Tsipras selected that maverick economist Varoufakis to be the finance minister primarily due to the latter's global profile along with his highly compelling skills as a speaker.
“In reality, he was, in reality, more like a personality rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader claims that Varoufakis had his own motives which included advancing his books and testing out his economic models on the nation instead of genuinely advocating its financial survival.
Tsipras wrote how those negotiations to stave off bankruptcy became “not just a method of achieving improved terms for the country. They were an experiment, an historic opportunity to prove the validity of Varoufakis's ideas.”
High-Stakes Talks
Amid volatile negotiations, the country came perilously close to leaving the single currency area.
On the line lay not only Greece's future but also those punishing cutbacks required in return for rescue loans from international creditors.
Failed Options
Efforts to find funds elsewhere, including an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Assisting the indebted country was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum and Reversal
That summer, the punitive bailout terms were subjected to a popular referendum, a move that plunged the EU into further existential crisis.
Although the vote was won resoundingly by voters against the cuts, Tsipras was forced to reject its outcome then negotiate a bailout package with foreign lenders which proved to be even harsher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the man who drew media attention, who appeared on the front pages of magazines the world over … he gave the impression he was enjoying the spotlight.”
When the minister outlined a backup strategy that included creating a parallel currency as well as issuing vouchers to pensioners, Tsipras knew it was the end and asked him: “Are you serious?”
Enduring Criticism
In the memoir, the author asserts that his former ally had proved himself “unfit for an agreement that required intricate and sensitive management.”
He also claimed that Varoufakis's aggressive style left him more and more alone among peers, put Greece at risk, while assisted hardliners who were advocating a Greek exit from the euro.
This retelling of history has been met with anger and stunned disbelief among certain groups, while Varoufakis has so far maintained a conspicuous quiet on the matter.
