Within his freshly published memoir, named Ithaki, the former prime minister Alexis Tsipras spares no criticism while he reflects on that turbulent era during Greece's debt drama.
A Controversial Appointment
According to Tsipras's account, he appointed that unorthodox academic Varoufakis as his finance minister largely due to his worldwide fame and Varoufakis's very persuasive skills when it came to communicator.
“In reality, he was, in reality, more of a personality and less of an economist,” stated the 51-year-old.
Conflicting Priorities
Tsipras claims how his finance chief had his own motives which involved promoting Varoufakis's books and testing out his own economic models on Greece instead of truly fighting for the country's financial survival.
Tsipras explained that those talks to stave off bankruptcy were “not just a way to secure a better deal for Greece. They became an experiment, a monumental chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster discussions, Greece found itself dangerously close to leaving the single currency area.
At stake was both the country's destiny and the harsh austerity measures required in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Efforts to find funds from other sources, such as an urgent plea to the Kremlin to buy Greek bonds, were rejected.
Assisting the indebted country would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
That summer, those punitive bailout terms were put to a popular referendum, a move which plunged the EU into further existential crisis.
Although the referendum was won resoundingly by voters against austerity, the prime minister was forced to reject its outcome then negotiate a bailout package with foreign lenders that proved to be even harsher.
Final Straw
The ex-PM claimed that he began to doubt his finance minister quite early on.
“He was the face of the talks, the man who drew media attention, who appeared on the front pages of publications the world over … it seemed he relished the spotlight.”
When the minister proposed a backup strategy involving creating a parallel currency as well as issuing vouchers to pensioners, the leader said he realised it was the end and asked Varoufakis: “Are you serious?”
Lasting Criticism
In the book, Tsipras concludes that Varoufakis had proved himself “unfit for an agreement demanding intricate and sensitive handling.”
He also wrote that his aggressive style left him more and more alone among peers, endangered the country, while helped hardliners that were advocating a Greek exit from the euro.
This account of history has been met with fury along with stunned disbelief in some quarters, while Varoufakis has kept a conspicuous quiet on the matter.
