In a recently unveiled memoir, named Ithaki, the former leader Alexis Tsipras does not hold back as he reflects on that turbulent era of Greece's financial crisis.
A Controversial Choice
According to Tsipras's recollections, Tsipras appointed the maverick economist Varoufakis as the treasury head largely because of his global profile and Varoufakis's “extremely attractive” abilities when it came to communicator.
“He was, truthfully, more like a personality and less of an economic expert,” stated Tsipras.
Clashing Agendas
The former leader alleges how his finance chief possessed his own agenda that involved advancing Varoufakis's publications and experimenting with his own theories on Greece rather than truly advocating its financial survival.
He explained that the talks to avoid insolvency became “not just a method to secure improved terms for Greece. They were a test, a monumental opportunity to demonstrate the validity of his theories.”
High-Stakes Talks
Amid tense discussions, Greece found itself dangerously close to leaving the single currency area.
On the line was not only the country's future but also the severe austerity measures required in exchange for bailout funds by international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, including a desperate plea to the Kremlin to purchase Greek bonds, were rejected.
Helping the indebted country was tantamount to tossing cash in the trash-can, Putin reportedly told his Greek counterpart during their meeting.
Referendum and U-Turn
In July 2015, the excoriating bailout terms were put to a public vote, a move which threw Europe into a deeper crisis of identity.
Even though the vote was won decisively by those against the cuts, the prime minister had little option to ignore the result and agree to a rescue deal from creditors that turned out to be more severe.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the man who drew publicity, who appeared on the front pages of magazines globally … it seemed he relished his new role.”
When the minister outlined a contingency plan that included creating a parallel currency and distributing vouchers to retirees, Tsipras knew it was the end questioning Varoufakis: “Can you be serious?”
Enduring Criticism
Within the book, the author asserts how Varoufakis demonstrated himself “unsuitable for an agreement demanding complex and delicate management.”
He also claimed how his aggressive approach made him more and more alone among peers, endangered the country, while helped hardliners who were advocating Grexit.
The retelling of events has provoked fury along with stunned disbelief among certain groups, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
