In a freshly published personal account, named Ithaki, the former premier Alexis Tsipras pulls no punches as he revisits the turbulent period of Greece's debt drama.
An Unconventional Choice
As per the ex-PM's account, he appointed the unorthodox economist Varoufakis to be his finance minister primarily because of the latter's worldwide fame along with Varoufakis's highly compelling abilities when it came to public orator.
“He was, actually, more of a star and less of an economist,” stated the 51-year-old.
Clashing Agendas
Tsipras suggests how Varoufakis possessed his own motives which included advancing his books as well as experimenting with his own economic models using Greece rather than truly fighting for its economic stability.
Tsipras noted that the talks to stave off insolvency were “not just a method to secure improved terms for Greece. They were a test, a monumental chance to demonstrate the truth of Varoufakis's theories.”
Critical Negotiations
During volatile negotiations, the country came perilously on the brink of exiting the eurozone.
On the line lay both Greece's destiny and those harsh cutbacks demanded in exchange for financial aid from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, such as a desperate plea to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping the indebted country would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum and Reversal
That summer, the excoriating bailout terms were subjected to a popular referendum, an action which plunged Europe into a further crisis of identity.
Even though the referendum was won decisively by those against the cuts, Tsipras had little option but to ignore the result then agree to a rescue deal with creditors which proved to be more severe.
Final Straw
Tsipras claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of negotiation, the figure who drew media attention, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
When the minister proposed a contingency plan that included creating a parallel currency as well as issuing coupons to retirees, the leader said he realised it was game over and asked him: “Is this for real?”
Lasting Rebuke
Within the memoir, the author asserts that Varoufakis had proved himself “unsuitable for a deal that required complex and delicate handling.”
Tsipras also wrote that Varoufakis's confrontational approach made him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners that were pushing for a Greek exit from the euro.
The retelling of history has been met with anger along with stunned disbelief in some quarters, whereas Varoufakis has kept a conspicuous quiet on the matter.
