Within his newly released personal account, titled Ithaki, the ex- premier Alexis Tsipras spares no criticism as he reflects on the turbulent period of Greece's debt drama.
An Unconventional Choice
In the ex-PM's recollections, Tsipras appointed that unorthodox economist Varoufakis as the treasury head largely because of his international reputation and Varoufakis's highly compelling abilities as a communicator.
“In reality, he was, actually, more like a personality and less of an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests how Varoufakis possessed his own motives that included advancing his publications as well as experimenting with his game theories on Greece rather than truly fighting for its economic stability.
Tsipras noted that those negotiations to avoid bankruptcy were “not just a method of achieving a better deal for Greece. They were an experiment, an historic opportunity to prove the truth of Varoufakis's theories.”
Critical Negotiations
During volatile negotiations, the country came perilously close to exiting the single currency area.
At stake was both Greece's future but also the harsh austerity measures required in exchange for rescue loans from international creditors.
Unsuccessful Options
Attempts to secure financing elsewhere, including a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Helping the indebted country would be tantamount to tossing cash into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Public Vote and Reversal
In July 2015, the excoriating conditions were put to a public vote, a move which threw Europe into further crisis of identity.
Although the vote was carried resoundingly by those against austerity, Tsipras had little option to reject its outcome then negotiate a bailout package with foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed how he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the man who attracted media attention, who appeared on the front pages of publications globally … it seemed he relished the spotlight.”
After the minister proposed a backup strategy that included establishing a secondary currency as well as distributing coupons to pensioners, the leader knew that it was the end and asked him: “Is this for real?”
Enduring Rebuke
In the book, the author asserts that Varoufakis demonstrated himself to be “unfit for an agreement demanding complex and sensitive handling.”
Tsipras further wrote that Varoufakis's aggressive approach made him more and more alone with colleagues, put Greece at risk, while assisted hardliners that were advocating Grexit.
The retelling of events has been met with anger and stunned disbelief among certain groups, whereas Varoufakis has kept a deafening silence regarding these claims.
