In a newly released autobiography, titled Ithaki, the former prime minister Alexis Tsipras spares no criticism as he reflects on the turbulent period of Greece's debt drama.
An Unconventional Appointment
According to Tsipras's recollections, Tsipras appointed that maverick economist Varoufakis as the treasury head mainly due to his international reputation along with his very persuasive skills when it came to communicator.
“He was, in reality, more like a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Priorities
Tsipras alleges that his finance chief had a personal agenda which involved promoting Varoufakis's books and testing out his game theories on Greece rather than genuinely advocating the country's financial survival.
He explained how the discussions to prevent insolvency were “not just a way to secure a better deal for the country. They became an experiment, a monumental chance to demonstrate the validity of Varoufakis's economic theories.”
Critical Talks
During rollercoaster negotiations, Greece found itself dangerously close to leaving the single currency area.
At stake lay both Greece's future but also those punishing cutbacks required in return for rescue loans from international creditors.
Failed Alternatives
Efforts to secure funds from other sources, including a desperate plea to Russia to purchase Greek bonds, went unanswered.
Helping the indebted country would be tantamount to tossing cash in the trash-can, the Russian leader reportedly told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, the harsh conditions were put to a popular referendum, an action that threw the EU into a deeper existential crisis.
Even though the referendum was won decisively by those who opposed austerity, the prime minister had little option to reject its outcome and agree to a rescue deal with foreign lenders which turned out to be more severe.
Breaking Point
Tsipras revealed how he began to doubt his finance minister relatively soon.
“He was the face of negotiation, the figure who attracted publicity, who appeared on the covers of publications globally … it seemed he was enjoying his new role.”
After Varoufakis outlined a backup strategy that included creating a secondary currency and distributing vouchers to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, the author asserts how his former ally had proved himself “unfit for an agreement that required complex and sensitive management.”
He also wrote how Varoufakis's aggressive approach made him increasingly isolated among peers, endangered the country, and helped hardliners that were advocating Grexit.
The account of events has been met with fury along with shock in some quarters, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
