In a newly released memoir, called Ithaki, the ex- premier Alexis Tsipras pulls no punches while he reflects on that turbulent era of Greece's financial crisis.
An Unconventional Appointment
In the ex-PM's account, he selected the maverick economist Varoufakis to be the finance minister mainly due to his worldwide fame and his very persuasive abilities as a communicator.
“He was, actually, more of a celebrity and less of an economist,” stated Tsipras.
Clashing Priorities
Tsipras alleges how Varoufakis had his own agenda that involved advancing Varoufakis's books as well as experimenting with his own game theories using Greece instead of truly fighting for the country's economic stability.
He noted that those talks to stave off insolvency were “not just a way to secure improved terms for Greece. They became a test, a monumental opportunity to prove the truth of Varoufakis's theories.”
Critical Talks
Amid tense discussions, Greece came dangerously on the brink of exiting the single currency area.
At stake was both Greece's future but also the punishing austerity measures required in exchange for rescue loans from international creditors.
Unsuccessful Alternatives
Attempts to find funds from other sources, such as an urgent plea to Russia to purchase Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to tossing cash into the garbage, Putin reportedly told his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, the harsh conditions were subjected to a popular referendum, a move which plunged the EU into further crisis of identity.
Although the vote was won decisively by voters who opposed the cuts, Tsipras was forced to reject its outcome then agree to a bailout package with foreign lenders which proved to be more severe.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“He was the face of the talks, the man who attracted media attention, who graced the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
When Varoufakis outlined a contingency plan involving creating a secondary currency and distributing vouchers to retirees, the leader said he realised that it was game over and asked him: “Is this for real?”
Lasting Criticism
Within the book, the author concludes that his former ally had proved himself “unsuitable for an agreement demanding complex and delicate management.”
He further claimed that his confrontational style made him more and more alone with colleagues, endangered the country, and assisted hardliners that were advocating a Greek exit from the euro.
The account of history has provoked fury along with stunned disbelief in some quarters, whereas the former minister has maintained a conspicuous quiet regarding these claims.
