In a recently unveiled personal account, titled Ithaki, the ex- prime minister Tsipras pulls no punches as he reflects on the chaotic era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's version, he appointed the maverick economist Varoufakis as his treasury head largely because of his global profile and his highly compelling skills when it came to speaker.
“In reality, he was, in reality, more of a personality rather than an economist,” stated Tsipras.
Clashing Agendas
The former leader alleges that his finance chief had a personal motives that involved promoting his publications and experimenting with his economic models on Greece rather than genuinely advocating its financial survival.
He explained that those talks to stave off bankruptcy were “not just a way of achieving a better deal for Greece. They were an experiment, an historic chance to demonstrate the truth of his ideas.”
Critical Negotiations
Amid rollercoaster discussions, Greece came dangerously on the brink of exiting the eurozone.
On the line was both the country's destiny but also the punishing austerity policies demanded in return for rescue loans by foreign lenders.
Unsuccessful Options
Efforts to secure financing elsewhere, including a desperate appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Public Vote Followed by Reversal
That summer, the excoriating conditions were subjected to a popular referendum, an action that plunged the EU into a further existential crisis.
Although the vote was won resoundingly by voters who opposed austerity, Tsipras had little option to reject its outcome then negotiate a rescue deal with foreign lenders that turned out to be more severe.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the face of negotiation, the man who drew publicity, who graced the covers of magazines globally … he gave the impression he was enjoying his new role.”
When the minister outlined a contingency plan involving creating a parallel currency and distributing coupons to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Can you be serious?”
Lasting Criticism
In the book, the author concludes that his former ally demonstrated himself “unfit for an agreement demanding complex and delicate handling.”
He further wrote how Varoufakis's confrontational approach made him increasingly isolated among peers, put Greece at risk, while assisted hawks who were pushing for Grexit.
The account of history has provoked anger along with stunned disbelief among certain groups, whereas the former minister has so far maintained a deafening silence on the matter.
