Within his recently unveiled memoir, named Ithaki, the former leader Alexis Tsipras pulls no punches while he reflects on that chaotic era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's recollections, he chose that maverick academic Varoufakis to be the finance minister primarily due to the latter's worldwide fame along with Varoufakis's “extremely attractive” skills as a public orator.
“He was, truthfully, more like a personality and less of an economic expert,” wrote Tsipras.
Conflicting Agendas
Tsipras suggests that his finance chief possessed a personal motives that included advancing Varoufakis's books as well as experimenting with his game theories using the nation rather than truly advocating the country's financial survival.
Tsipras noted that those discussions to stave off bankruptcy became “not only a way of achieving improved terms for Greece. They became a test, a monumental chance to demonstrate the truth of his theories.”
High-Stakes Talks
During volatile negotiations, Greece came perilously close to leaving the eurozone.
At stake was not only Greece's future but also the severe austerity policies required in return for financial aid from international creditors.
Unsuccessful Options
Efforts to find financing elsewhere, including a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Helping the indebted country was equivalent to throwing money into the garbage, Putin is reputed to have told Tsipras in Moscow.
Public Vote Followed by Reversal
In July 2015, the punitive bailout terms were put to a public vote, an action that plunged Europe into further existential crisis.
Even though the vote was won decisively by voters against austerity, Tsipras had little option but to reject its outcome then negotiate a bailout package from creditors which proved to be tougher.
Breaking Point
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the man who attracted media attention, who appeared on the front pages of publications globally … it seemed he relished his new role.”
After the minister proposed a contingency plan involving creating a parallel currency as well as distributing vouchers to pensioners, the leader said he realised it was the end and asked him: “Is this for real?”
Enduring Rebuke
In the book, Tsipras asserts how Varoufakis had proved himself “unsuitable for a deal demanding complex and delicate management.”
He further claimed that his confrontational approach left him more and more alone with colleagues, put Greece at risk, while helped hawks who were advocating Grexit.
This retelling of events has been met with anger along with stunned disbelief in some quarters, whereas the former minister has so far maintained a deafening silence on the matter.
