Within his freshly published memoir, named Ithaki, the former premier Alexis Tsipras does not hold back as he revisits that chaotic era of Greece's debt drama.
A Controversial Appointment
As per Tsipras's account, Tsipras selected the unorthodox economist Varoufakis as the finance minister primarily because of his worldwide fame and his very persuasive skills when it came to public orator.
“He was, in reality, more of a personality rather than an economist,” wrote Tsipras.
Clashing Agendas
The former leader alleges how his finance chief possessed his own agenda which included promoting Varoufakis's books as well as testing out his own economic models on Greece rather than truly advocating the country's financial survival.
Tsipras explained that the discussions to stave off insolvency were “not just a method of achieving a better deal for the country. They became a test, a monumental chance to demonstrate the truth of his ideas.”
Critical Talks
During volatile discussions, Greece found itself dangerously close to leaving the single currency area.
At stake lay both Greece's future but also the severe cutbacks required in exchange for bailout funds from foreign lenders.
Failed Alternatives
Efforts to secure financing elsewhere, such as an urgent plea to Russia to purchase Greek bonds, fell on stony ground.
Helping Greece would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.
Public Vote Followed by Reversal
In July 2015, the excoriating bailout terms were subjected to a popular referendum, an action which plunged Europe into deeper crisis of identity.
Although the vote was won resoundingly by those who opposed the cuts, the prime minister had little option but to ignore the result and negotiate a rescue deal from foreign lenders which proved to be more severe.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who graced the covers of publications globally … it seemed he was enjoying the spotlight.”
After the minister outlined a backup strategy that included establishing a secondary currency and distributing coupons to retirees, Tsipras said he realised it was the end questioning him: “Are you serious?”
Enduring Rebuke
In the book, the author asserts that Varoufakis had proved himself to be “unsuitable for a deal that required intricate and sensitive management.”
He further claimed that his aggressive style made him increasingly isolated among peers, endangered the country, and helped hawks that were advocating Grexit.
The account of history has provoked fury along with shock in some quarters, while the former minister has maintained a conspicuous quiet regarding these claims.
