Within his recently unveiled autobiography, called Ithaki, the ex- leader Alexis Tsipras does not hold back as he examines the chaotic era of Greece's debt drama.
A Controversial Choice
As per Tsipras's version, Tsipras chose that unorthodox academic Varoufakis as his finance minister largely because of the latter's international reputation and Varoufakis's very persuasive skills as a communicator.
“In reality, he was, in reality, more like a personality and less of an economic expert,” recalled the 51-year-old.
Clashing Priorities
The former leader suggests that his finance chief had a personal agenda which included promoting his books and testing out his economic models on the nation instead of genuinely fighting for its financial survival.
Tsipras noted that those discussions to stave off bankruptcy were “not just a method to secure improved terms for Greece. They were an experiment, an historic opportunity to prove the validity of his economic theories.”
High-Stakes Negotiations
Amid tense discussions, Greece came perilously close to exiting the eurozone.
On the line lay not only Greece's future and the harsh austerity measures demanded in exchange for rescue loans from foreign lenders.
Failed Options
Efforts to secure financing from other sources, including a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece was equivalent to throwing money into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, those punitive bailout terms were put to a popular referendum, an action that plunged Europe into a further existential crisis.
Even though the referendum was won decisively by voters who opposed the cuts, the prime minister had little option but to reject its outcome and negotiate a bailout package with creditors that turned out to be even harsher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the public image of the talks, the man who attracted media attention, who graced the front pages of publications globally … he gave the impression he relished his new role.”
After Varoufakis outlined a contingency plan that included establishing a secondary currency as well as distributing vouchers to pensioners, the leader knew it was game over questioning him: “Are you serious?”
Enduring Criticism
Within the memoir, Tsipras asserts that Varoufakis had proved himself “unfit for a deal that required complex and sensitive management.”
He also claimed how his aggressive approach made him increasingly isolated among peers, endangered the country, and helped hardliners who were pushing for Grexit.
This account of history has been met with fury and stunned disbelief in some quarters, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
