Within his freshly published autobiography, titled Ithaki, the former prime minister Alexis Tsipras spares no criticism as he examines that turbulent period of Greece's financial crisis.
A Controversial Choice
According to Tsipras's account, Tsipras appointed the maverick academic Varoufakis to be his treasury head largely because of his global profile along with Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, truthfully, more like a star and less of an economic expert,” stated Tsipras.
Conflicting Agendas
The former leader suggests how his finance chief had a personal agenda that included advancing Varoufakis's publications as well as testing out his own economic models on the nation instead of truly fighting for its financial survival.
Tsipras explained how those negotiations to stave off insolvency were “not just a way to secure improved terms for the country. They became an experiment, an historic chance to demonstrate the validity of Varoufakis's economic theories.”
Critical Negotiations
During rollercoaster discussions, Greece found itself perilously close to exiting the single currency area.
On the line was not only Greece's future and the punishing austerity policies demanded in return for rescue loans by foreign lenders.
Failed Options
Attempts to find funds from other sources, such as a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to throwing money into the garbage, Putin reportedly informed Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the harsh bailout terms were put to a popular referendum, a move which threw the EU into a further existential crisis.
Even though the vote was carried decisively by voters who opposed austerity, Tsipras was forced but to ignore the result and negotiate a rescue deal from creditors that turned out to be more severe.
Final Straw
The ex-PM claimed how he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who attracted publicity, who graced the covers of magazines the world over … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy that included creating a parallel currency and issuing vouchers to pensioners, Tsipras said he realised that it was game over and asked him: “Are you serious?”
Enduring Rebuke
In the book, Tsipras concludes how Varoufakis demonstrated himself to be “unfit for a deal demanding intricate and delicate management.”
He also claimed how Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, and assisted hardliners that were advocating Grexit.
This retelling of history has provoked anger along with shock among certain groups, while Varoufakis has maintained a deafening silence regarding these claims.
