Within his newly released autobiography, named Ithaki, the former premier Alexis Tsipras pulls no punches as he revisits that turbulent period of Greece's economic turmoil.
A Controversial Appointment
In Tsipras's version, he chose that unorthodox economist Varoufakis to be his treasury head primarily because of the latter's worldwide fame and his “extremely attractive” abilities when it came to communicator.
“He was, actually, more of a celebrity and less of an economist,” wrote the 51-year-old.
Clashing Priorities
The former leader claims that his finance chief possessed his own motives which included advancing Varoufakis's publications as well as testing out his economic models using the nation instead of truly advocating the country's financial survival.
Tsipras explained how those discussions to stave off insolvency were “not only a way of achieving a better deal for Greece. They became a test, an historic opportunity to demonstrate the validity of Varoufakis's ideas.”
Critical Talks
Amid tense negotiations, the country came dangerously close to leaving the single currency area.
At stake was not only Greece's future but also those severe austerity measures demanded in exchange for financial aid by international creditors.
Unsuccessful Alternatives
Efforts to secure funds from other sources, such as an urgent plea to the Kremlin to purchase Greek bonds, fell on stony ground.
Assisting the indebted country was equivalent to tossing cash into the garbage, the Russian leader reportedly informed his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, the punitive conditions were subjected to a popular referendum, an action which threw the EU into a deeper crisis of identity.
Although the vote was won resoundingly by those who opposed austerity, the prime minister was forced but to ignore the result and negotiate a rescue deal with creditors that turned out to be more severe.
Breaking Point
Tsipras revealed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the man who attracted media attention, who appeared on the covers of publications the world over … he gave the impression he relished his new role.”
When the minister proposed a backup strategy involving creating a parallel currency and issuing coupons to retirees, the leader said he realised that it was the end and asked Varoufakis: “Are you serious?”
Lasting Criticism
Within the book, the author concludes that his former ally demonstrated himself “unsuitable for an agreement demanding intricate and sensitive handling.”
He also claimed how his confrontational style left him more and more alone with colleagues, put Greece at risk, and assisted hardliners who were pushing for a Greek exit from the euro.
This retelling of history has been met with anger along with shock in some quarters, whereas Varoufakis has kept a deafening silence regarding these claims.
