Within his newly released personal account, called Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits the turbulent era of Greece's debt drama.
A Controversial Appointment
In the ex-PM's version, he chose the unorthodox academic Varoufakis to be the finance minister largely because of the latter's global profile and his very persuasive abilities as a public orator.
“In reality, he was, in reality, more like a star and less of an economic expert,” stated Tsipras.
Conflicting Priorities
The former leader alleges how Varoufakis possessed a personal agenda which included promoting his publications and experimenting with his own theories on the nation rather than genuinely advocating its financial survival.
He noted how the talks to avoid insolvency became “not just a way to secure improved terms for the country. They were a test, an historic chance to demonstrate the truth of his theories.”
High-Stakes Talks
During volatile discussions, Greece found itself dangerously on the brink of leaving the single currency area.
On the line lay not only Greece's future but also the harsh austerity measures required in return for financial aid from foreign lenders.
Unsuccessful Options
Efforts to find funds elsewhere, including a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be tantamount to throwing money in the trash-can, Putin reportedly informed Tsipras in Moscow.
Public Vote Followed by U-Turn
That summer, the harsh bailout terms were put to a popular referendum, a move that threw Europe into deeper existential crisis.
Even though the vote was carried decisively by voters against the cuts, the prime minister was forced to ignore the result and negotiate a rescue deal from creditors which turned out to be even harsher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis quite early on.
“He was the face of negotiation, the man who attracted media attention, who graced the covers of publications globally … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan that included creating a parallel currency and issuing vouchers to pensioners, the leader said he realised that it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the memoir, the author concludes that his former ally demonstrated himself to be “unsuitable for an agreement demanding intricate and delicate handling.”
Tsipras also claimed that his confrontational approach made him more and more alone among peers, put Greece at risk, while assisted hardliners that were advocating Grexit.
The account of events has been met with anger and shock in some quarters, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
