Within his newly released personal account, titled Ithaki, the former prime minister Alexis Tsipras pulls no punches as he examines that chaotic era during Greece's financial crisis.
An Unconventional Choice
In the ex-PM's account, Tsipras chose the maverick academic Varoufakis as his treasury head primarily due to his global profile along with his very persuasive abilities as a communicator.
“In reality, he was, actually, more of a celebrity rather than an economist,” wrote the 51-year-old.
Conflicting Agendas
The former leader suggests that Varoufakis had his own motives that included promoting Varoufakis's publications and testing out his own economic models using the nation instead of genuinely advocating its economic stability.
Tsipras explained how the discussions to avoid bankruptcy were “not only a method to secure improved terms for Greece. They became a test, a monumental chance to demonstrate the validity of his ideas.”
Critical Negotiations
Amid rollercoaster negotiations, the country came dangerously close to exiting the single currency area.
At stake lay not only Greece's destiny but also the punishing austerity measures required in exchange for rescue loans from international creditors.
Failed Options
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to buy Greek bonds, went unanswered.
Helping the indebted country would be equivalent to tossing cash into the garbage, Putin reportedly told Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, the excoriating conditions were put to a popular referendum, a move which threw the EU into a deeper existential crisis.
Although the vote was carried resoundingly by voters who opposed the cuts, the prime minister had little option but to reject its outcome then negotiate a rescue deal with creditors which proved to be more severe.
Breaking Point
Tsipras claimed that he began to doubt his finance minister quite early on.
“He was the face of the talks, the man who attracted media attention, who graced the covers of magazines the world over … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included establishing a secondary currency as well as distributing vouchers to retirees, Tsipras knew it was game over and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
In the memoir, Tsipras asserts that Varoufakis had proved himself “unfit for a deal demanding intricate and sensitive management.”
Tsipras also claimed that Varoufakis's confrontational style left him increasingly isolated among peers, put Greece at risk, while helped hardliners who were advocating a Greek exit from the euro.
The retelling of events has been met with fury along with shock among certain groups, whereas the former minister has so far maintained a deafening silence on the matter.
