Within his newly released personal account, named Ithaki, the former prime minister Alexis Tsipras spares no criticism while he examines the chaotic era of Greece's economic turmoil.
An Unconventional Appointment
According to Tsipras's account, Tsipras appointed that maverick economist Varoufakis to be the finance minister mainly because of the latter's worldwide fame and his “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more like a celebrity and less of an economist,” recalled Tsipras.
Conflicting Priorities
The former leader suggests how his finance chief had a personal motives which included advancing Varoufakis's publications and testing out his theories on the nation instead of truly fighting for its financial survival.
He explained that the discussions to stave off insolvency became “not only a way of achieving improved terms for Greece. They became a test, an historic opportunity to prove the truth of Varoufakis's theories.”
High-Stakes Negotiations
During volatile negotiations, the country came dangerously close to leaving the eurozone.
On the line was both Greece's destiny but also those harsh austerity measures demanded in exchange for rescue loans from international creditors.
Unsuccessful Options
Efforts to find funds from other sources, such as an urgent plea to the Kremlin to purchase Greek government bonds, were rejected.
Helping Greece was tantamount to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, those punitive conditions were put to a popular referendum, an action that plunged Europe into a deeper existential crisis.
Although the referendum was carried resoundingly by those against the cuts, the prime minister was forced to ignore the result then negotiate a bailout package from foreign lenders which proved to be even harsher.
Final Straw
Tsipras revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of negotiation, the figure who drew media attention, who appeared on the front pages of magazines globally … he gave the impression he relished the spotlight.”
After the minister outlined a contingency plan involving creating a secondary currency and distributing vouchers to pensioners, the leader said he realised that it was game over and asked him: “Can you be serious?”
Enduring Rebuke
Within the book, the author concludes how Varoufakis had proved himself “unsuitable for a deal demanding complex and sensitive handling.”
He also wrote that his aggressive approach left him increasingly isolated with colleagues, endangered the country, while assisted hardliners that were advocating Grexit.
This retelling of events has been met with anger along with stunned disbelief in some quarters, while the former minister has kept a conspicuous quiet regarding these claims.
