In a newly released personal account, titled Ithaki, the former leader Alexis Tsipras spares no criticism as he examines the chaotic period of Greece's economic turmoil.
A Controversial Appointment
As per Tsipras's version, Tsipras chose the unorthodox economist Varoufakis as his treasury head primarily due to the latter's worldwide fame and his highly compelling abilities as a speaker.
“In reality, he was, truthfully, more like a personality rather than an economist,” wrote the 51-year-old.
Clashing Priorities
The former leader alleges how his finance chief had a personal motives that involved promoting his books as well as experimenting with his economic models using the nation instead of genuinely fighting for its financial survival.
He wrote that the 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 prove the truth of Varoufakis's theories.”
High-Stakes Talks
Amid volatile discussions, Greece came perilously on the brink of exiting the single currency area.
At stake lay both Greece's future but also the severe cutbacks required in return for financial aid by international creditors.
Failed Alternatives
Efforts to secure financing from other sources, such as a desperate appeal to the Kremlin to purchase Greek bonds, were rejected.
Assisting Greece would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, those punitive bailout terms were subjected to a popular referendum, an action which plunged the EU into further existential crisis.
Even though the vote was carried decisively by voters who opposed austerity, Tsipras had little option to ignore the result and agree to a rescue deal from foreign lenders which proved to be more severe.
Final Straw
The ex-PM claimed that he began to doubt Varoufakis quite early on.
“He was the public image of the talks, the figure who drew publicity, who appeared on the covers of magazines globally … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included creating a secondary currency and issuing coupons to pensioners, the leader said he realised that it was game over questioning him: “Are you serious?”
Lasting Rebuke
In the memoir, the author asserts how his former ally demonstrated himself to be “unfit for an agreement demanding intricate and sensitive management.”
He further claimed how his confrontational style left him increasingly isolated with colleagues, put Greece at risk, while assisted hardliners that were pushing for Grexit.
This retelling of history has been met with anger along with shock among certain groups, while Varoufakis has so far kept a conspicuous quiet on the matter.
