In a recently unveiled personal account, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he revisits that chaotic era of Greece's financial crisis.
An Unconventional Choice
In Tsipras's recollections, he chose that maverick economist Varoufakis as the finance minister primarily because of his international reputation along with Varoufakis's “extremely attractive” abilities as a public orator.
“He was, actually, more like a star and less of an economist,” wrote the 51-year-old.
Clashing Priorities
The former leader suggests that his finance chief possessed his own motives which involved promoting Varoufakis's publications as well as testing out his own game theories on Greece instead of genuinely fighting for its economic stability.
Tsipras explained how the talks to stave off bankruptcy became “not only a way to secure improved terms for the country. They became an experiment, a monumental opportunity to prove the validity of his ideas.”
Critical Negotiations
During rollercoaster discussions, Greece found itself perilously close to leaving the single currency area.
At stake was both Greece's future and the harsh cutbacks required in exchange for rescue loans by international creditors.
Failed Options
Efforts to find funds elsewhere, including an urgent appeal to Russia to buy Greek bonds, were rejected.
Helping the indebted country was tantamount to tossing cash into the garbage, Putin reportedly informed Tsipras during their meeting.
Public Vote and U-Turn
That summer, the punitive conditions were put to a popular referendum, a move which plunged Europe into a deeper existential crisis.
Although the vote was won decisively by voters against the cuts, Tsipras had little option but to ignore the result and negotiate a rescue deal from creditors which turned out to be tougher.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who appeared on the front pages of publications the world over … he gave the impression he relished the spotlight.”
When the minister proposed a backup strategy that included establishing a parallel currency and issuing vouchers to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Are you serious?”
Lasting Criticism
In the book, the author asserts that his former ally had proved himself “unfit for an agreement demanding intricate and sensitive management.”
Tsipras also wrote how Varoufakis's confrontational approach left him increasingly isolated with colleagues, put Greece at risk, and helped hardliners that were pushing for a Greek exit from the euro.
This retelling of history has been met with fury along with shock in some quarters, while Varoufakis has kept a conspicuous quiet regarding these claims.
