In a freshly published memoir, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he reflects on the chaotic era of Greece's debt drama.
An Unconventional Appointment
As per Tsipras's recollections, he chose the unorthodox academic Varoufakis as the treasury head mainly due to his international reputation and Varoufakis's “extremely attractive” abilities when it came to communicator.
“He was, in reality, more like a personality rather than an economist,” wrote the 51-year-old.
Conflicting Priorities
Tsipras alleges that his finance chief possessed his own motives which involved advancing his publications and testing out his game theories using the nation instead of genuinely advocating its economic stability.
Tsipras explained that those talks to avoid bankruptcy were “not just a way to secure a better deal for the country. They became a test, an historic opportunity to demonstrate the validity of his economic theories.”
High-Stakes Negotiations
Amid volatile discussions, the country came perilously close to exiting the eurozone.
On the line lay not only Greece's destiny but also the harsh austerity measures demanded in exchange for rescue loans from foreign lenders.
Failed Alternatives
Efforts to secure financing from other sources, including a desperate appeal to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by Reversal
In July 2015, the excoriating conditions were subjected to a popular referendum, an action that threw the EU into further crisis of identity.
Even though the referendum was won resoundingly by voters who opposed the cuts, Tsipras had little option but to ignore the result then negotiate a rescue deal with foreign lenders which turned out to be even harsher.
Final Straw
The ex-PM claimed that he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the man who attracted publicity, who appeared on the covers of magazines the world over … he gave the impression he relished the spotlight.”
When the minister proposed a contingency plan that included establishing a secondary currency as well as issuing coupons to retirees, Tsipras knew that it was game over and asked Varoufakis: “Is this for real?”
Lasting Criticism
In the book, Tsipras concludes how Varoufakis had proved himself “unsuitable for an agreement demanding intricate and delicate handling.”
Tsipras further claimed how Varoufakis's confrontational approach made him more and more alone with colleagues, endangered the country, and assisted hardliners that were advocating a Greek exit from the euro.
This account of events has provoked anger and shock among certain groups, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
