In a newly released autobiography, named Ithaki, the ex- premier Alexis Tsipras spares no criticism while he revisits that chaotic era of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, he appointed that unorthodox academic Varoufakis as the finance minister primarily due to his worldwide fame and Varoufakis's very persuasive skills as a communicator.
“He was, truthfully, more of a celebrity and less of an economist,” wrote the 51-year-old.
Conflicting Agendas
The former leader suggests that his finance chief had a personal motives that involved advancing his books and experimenting with his theories on Greece rather than truly fighting for its financial survival.
He wrote how the negotiations to stave off bankruptcy were “not only a way to secure a better deal for Greece. They were a test, a monumental chance to demonstrate the truth of his economic theories.”
High-Stakes Negotiations
Amid rollercoaster negotiations, the country came perilously on the brink of exiting the single currency area.
At stake lay not only the country's destiny but also the harsh austerity policies required in exchange for financial aid by international creditors.
Failed Options
Efforts to secure financing elsewhere, including a desperate appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to throwing money into the garbage, Putin reportedly told his Greek counterpart in Moscow.
Public Vote and Reversal
In July 2015, the harsh conditions were put to a popular referendum, an action that plunged Europe into a further existential crisis.
Although the referendum was won decisively by those against austerity, Tsipras had little option but to ignore the result then agree to a rescue deal with foreign lenders which proved to be tougher.
Final Straw
Tsipras revealed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew publicity, who graced the front pages of publications the world over … he gave the impression he relished his new role.”
After the minister proposed a backup strategy that included creating a parallel currency as well as issuing coupons to retirees, the leader said he realised it was game over questioning Varoufakis: “Is this for real?”
Enduring Criticism
In the book, the author asserts that Varoufakis had proved himself to be “unsuitable for a deal demanding intricate and sensitive management.”
Tsipras also claimed how Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were advocating a Greek exit from the euro.
This account of events has provoked anger along with shock among certain groups, while the former minister has so far kept a deafening silence on the matter.
