In a recently unveiled personal account, called Ithaki, the former leader Alexis Tsipras pulls no punches as he examines the chaotic era of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's account, Tsipras selected that unorthodox academic Varoufakis as his finance minister mainly due to the latter's worldwide fame along with Varoufakis's “extremely attractive” skills as a communicator.
“In reality, he was, in reality, more like a celebrity and less of an economist,” recalled Tsipras.
Clashing Agendas
The former leader suggests how his finance chief possessed a personal motives which included promoting his books and experimenting with his own theories on the nation rather than genuinely advocating its economic stability.
Tsipras explained that the talks to stave off insolvency were “not only a way of achieving a better deal for the country. They were an experiment, a monumental chance to demonstrate the truth of his ideas.”
High-Stakes Negotiations
Amid tense discussions, the country came dangerously on the brink of exiting the single currency area.
On the line was both the country's destiny and those harsh austerity measures demanded in return for financial aid from international creditors.
Failed Options
Efforts to find financing from other sources, including a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting the indebted country was tantamount to throwing money into the garbage, Putin reportedly told Tsipras during their meeting.
Public Vote and Reversal
That summer, those harsh bailout terms were put to a popular referendum, a move that plunged Europe into deeper existential crisis.
Although the referendum was won resoundingly by those against the cuts, Tsipras was forced but to ignore the result and negotiate a bailout package with foreign lenders that turned out to be more severe.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister relatively soon.
“He was the face of negotiation, the man who attracted publicity, who appeared on the covers of publications the world over … he gave the impression he relished the spotlight.”
When Varoufakis proposed a contingency plan involving establishing a parallel currency as well as distributing coupons to pensioners, the leader said he realised that it was game over questioning him: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras asserts how Varoufakis had proved himself to be “unsuitable for an agreement demanding intricate and sensitive handling.”
Tsipras also claimed how Varoufakis's aggressive style left him increasingly isolated among peers, put Greece at risk, while assisted hardliners who were pushing for Grexit.
This retelling of events has provoked anger and shock among certain groups, while the former minister has kept a conspicuous quiet on the matter.
