Within his freshly published personal account, named Ithaki, the ex- leader Alexis Tsipras pulls no punches while he revisits that turbulent era during Greece's economic turmoil.
An Unconventional Choice
As per the ex-PM's account, Tsipras appointed that maverick economist Varoufakis as the finance minister primarily due to the latter's international reputation and his highly compelling skills as a communicator.
“He was, truthfully, more of a personality rather than an economic expert,” recalled the 51-year-old.
Clashing Agendas
Tsipras claims how Varoufakis had a personal agenda which involved advancing Varoufakis's publications and testing out his own theories using Greece instead of truly fighting for its economic stability.
Tsipras explained how those discussions to avoid insolvency became “not only a way of achieving improved terms for the country. They were an experiment, a monumental chance to demonstrate the truth of Varoufakis's economic theories.”
High-Stakes Talks
During volatile negotiations, Greece came perilously close to exiting the eurozone.
At stake was both the country's destiny but also the harsh austerity policies demanded in return for rescue loans by international creditors.
Failed Options
Efforts to secure financing from other sources, including an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money into the garbage, Putin reportedly informed his Greek counterpart during their meeting.
Public Vote Followed by Reversal
In July 2015, those harsh conditions were subjected to a public vote, a move that threw Europe into further crisis of identity.
Although the referendum was carried decisively by those against austerity, the prime minister had little option but to ignore the result and negotiate a rescue deal with creditors that proved to be even harsher.
Final Straw
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted publicity, who graced the covers of magazines globally … it seemed he relished the spotlight.”
When the minister outlined a backup strategy that included creating a secondary currency as well as issuing vouchers to retirees, Tsipras knew it was the end and asked him: “Can you be serious?”
Enduring Criticism
In the book, Tsipras concludes how Varoufakis had proved himself “unsuitable for an agreement demanding intricate and sensitive management.”
Tsipras also claimed how his aggressive style left him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners who were advocating a Greek exit from the euro.
The retelling of history has been met with fury and stunned disbelief in some quarters, while Varoufakis has so far kept a deafening silence on the matter.
