In a newly released personal account, titled Ithaki, the ex- premier Alexis Tsipras does not hold back while he reflects on the chaotic period of Greece's economic turmoil.
A Controversial Appointment
In Tsipras's recollections, Tsipras appointed the unorthodox economist Varoufakis to be the treasury head largely due to the latter's global profile along with his very persuasive skills as a communicator.
“He was, actually, more like a star rather than an economist,” stated the 51-year-old.
Clashing Priorities
Tsipras claims that his finance chief had his own agenda which included promoting his books as well as experimenting with his economic models using the nation instead of truly fighting for the country's financial survival.
Tsipras wrote how those negotiations to stave off insolvency were “not just a way of achieving a better deal for Greece. They were a test, an historic chance to demonstrate the truth of Varoufakis's economic theories.”
Critical Negotiations
During rollercoaster negotiations, the country found itself perilously on the brink of exiting the single currency area.
At stake lay both Greece's future but also the harsh austerity measures demanded in exchange for financial aid by foreign lenders.
Failed Alternatives
Attempts to find funds elsewhere, including an urgent appeal to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece would be tantamount to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum Followed by U-Turn
In July 2015, the excoriating conditions were subjected to a popular referendum, an action which plunged Europe into a further crisis of identity.
Although the vote was won decisively by those against the cuts, the prime minister had little option but to reject its outcome and negotiate a rescue deal from foreign lenders which proved to be more severe.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who attracted publicity, who graced the front pages 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 distributing vouchers to retirees, the leader said he realised it was game over questioning Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, Tsipras asserts that his former ally had proved himself “unfit for an agreement that required intricate and delicate handling.”
Tsipras also claimed how his confrontational style made him increasingly isolated among peers, put Greece at risk, while helped hardliners who were pushing for Grexit.
This retelling of history has provoked anger along with stunned disbelief in some quarters, whereas the former minister has so far kept a deafening silence regarding these claims.
