Within his freshly published personal account, called Ithaki, the former prime minister Alexis Tsipras does not hold back as he revisits that turbulent period of Greece's economic turmoil.
An Unconventional Choice
According to the ex-PM's version, he selected the unorthodox economist Varoufakis as the finance minister largely due to the latter's global profile and his highly compelling abilities as a public orator.
“He was, in reality, more of a personality rather than an economist,” recalled the 51-year-old.
Conflicting Priorities
Tsipras alleges that his finance chief had his own agenda that included promoting his publications and testing out his own theories on the nation instead of genuinely advocating its economic stability.
Tsipras noted how the talks to stave off insolvency were “not only a method of achieving a better deal for the country. They were a test, an historic chance to demonstrate the validity of his theories.”
High-Stakes Negotiations
Amid volatile discussions, the country found itself perilously on the brink of exiting the single currency area.
At stake was not only the country's future and the severe austerity measures required in return for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to secure funds from other sources, including a desperate appeal to the Kremlin to buy Greek bonds, were rejected.
Helping Greece was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum Followed by Reversal
That summer, those harsh bailout terms were subjected to a public vote, an action which threw Europe into deeper existential crisis.
Even though the referendum was won decisively by those who opposed the cuts, the prime minister was forced to reject its outcome then negotiate a bailout package with creditors that proved to be even harsher.
Final Straw
Tsipras claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the figure who drew media attention, who appeared on the covers of magazines the world over … it seemed he was enjoying the spotlight.”
After Varoufakis outlined a backup strategy that included creating a secondary currency as well as issuing coupons to pensioners, Tsipras said he realised that it was game over questioning him: “Are you serious?”
Lasting Criticism
Within the memoir, Tsipras asserts how his former ally had proved himself to be “unsuitable for a deal that required intricate and sensitive management.”
He also claimed how Varoufakis's confrontational style left him more and more alone among peers, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
The account of history has been met with fury along with stunned disbelief in some quarters, whereas the former minister has so far maintained a deafening silence regarding these claims.
